Finding equilibrium: how important is general equilibrium to the results of geographical economics?
提出一个不预设均衡的核心-边缘模型，发现原模型中的一般均衡假设既非系统达到稳定纳什均衡的必要也非充分条件，并引入“泄漏”概念解释优化中的微小误差如何导致结果重大变化，对政策应用有重要启示。
This article proposes a version of the Core-Periphery model in which equilibrium is not assumed a priori, but may develop out of the choices of workers and firms. The research presented here finds that the assumption of general equilibrium present in the original model is neither a necessary nor a sufficient condition for systems to adjust to stable Nash Equilibria. This article introduces the idea of leakage to describe the minute inaccuracies in optimization that can cascade into major shifts in outcomes. This leakage plays an increasingly important role when the population is evenly spread among cities. Furthermore, as other assumptions are relaxed the effects of leakage on model stability are multiplied. This finding is of particular interest as the equilibrium-based results of geographical economics are increasingly being applied in policy settings where moderate concentrations of population and heterogeneity are the norm rather than the exception.