Abstract
One of main causes of commercial hollowing out of city centers is claimed to be the transportation improvements in outskirts areas like loop line. But few theoretical studies have been proposed to analyze the relation between commercial hollowing and transportation improvements. This paper presents the spatial competition model with central and outskirt commercial areas and show the relationship between commercial hollowing out of city and transportation improvements. In our model, improvement of radial line contributes development of city centers whereas improvement of loop line does not always promote commercial hollowing out of city.