Urban Land Use and the Location of Polluting Plants
The city is monocentric and all economic activity, i. e., production and marketing, is carried out in the Central Business District (CBD) where all job opportunities are located.
The transportation system in the city is radial and equally dense in every direction.
The only travel cost is the community cost of workers between their residence and their place of work in the CBD.
No local public goods or bads are in evidence nor are there any neighborhood externalities. Therefore, the only spatial characteristic that matters to households is the distance from the CBD.
KeywordsMarket Failure Central Business District Social Planner Residential Neighborhood Local Public Good
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