THE EFFECTS OF ZONING IN SPATIAL COMPETITION
研究了一个环形城市中分区制对竞争的影响,证明在凹运输成本下存在均衡位置,并分析了不同政治倾向的规划者如何通过分区制调节竞争强度。
ABSTRACT This paper considers a location model to illustrate the effect of zoning on competition. A planner is in charge of designing a city in a circular space where firms and consumers are located on different sides. With this type of market configuration, equilibrium in location under concave transport costs is proved. Then, a welfare function with different weights attached to consumer and firm surpluses is introduced to highlight zoning regulation as an influential competition policy tool. Depending on the regulator's political profiles and the demand, it is shown that zoning can lead to strong, weak, or moderate competition.