2013 Volume 69 Issue 1 Pages 53-63
Agglomeration and dispersion of urban population were studied in New Economic Geography, and agglomeration of two city economy and racetrack economy was revealed to be triggered by bifurcation. In this paper, agglomeration of a system of cities on a line segment was studied. Comparative static analysis with respect to transportation cost was conducted for the core-periphery model of Forslid & Ottaviano. As a result, agglomeration was shown to progress via spatial period doubling cascade, which is a typical agglomeration behavior of racetrack economy. The line segment economy and racetrack economy thus were shown to display similar behaviors.