Spatial Equilibrium in a Multidimensional Space: An Immigration-Consistent Division into Countries Centered at Barycenter
It studies the problem of immigration proof partition for communities (countries) in a multidimensional space. This is an existence problem of Tiebout type equilibrium, where migration stability suggests that every inhabitant has no incentives to change current jurisdiction. In particular, an inhabitant at every frontier point has equal costs for all available jurisdictions. It is required that the inter-country border is represented by a continuous curve.
The paper presents the solution for the case of the costs described as the sum of the two values: the ratio of total costs on the total weight of the population plus transportation costs to the center presented as a barycenter of the state. In the literature, this setting is considered as a case of especial theoretical interest and difficulty. The existence of equilibrium division is stated via an approximation reducing the problem to the earlier studied case, in which centers of the states never can coincide: to do this an earlier proved a generalization of conic Krasnosel’skii fixed point theorem is applied.
KeywordsMigration stable partitions Barycenter Tiebout equilibrium Generalized fixed point theorems
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