THE CENTRE-PERIPHERICAL MODEL WITH DIFFERENT VALUES OF THE COSTS OF TRANSPORT AT THE INDUSTRIAL AND AGRICULTURAL GOODS

11th International Multidisciplinary Scientific GeoConference SGEM2011, www.sgem.org, SGEM2011 Conference Proceedings/ ISSN 1314-2704, June 20-25, 2011, Vol. 2, 661-668 pp

ABSTRACT

This item refers to the centre-peripherical model due to Paul Krugman (1991) with all
its merits in grounding of the economic crowdings, and which at the same time meant
also the arising of a new field in the economic theory, known as “The New Economic
Geography”. They also criticized it for the symmetry of the transport costs of the
industrial and agricultural products. These criticisms could be avoid by improving the
model, so as it is trying in this work.
Simultaneously, the achieving of an informatics program is useful in making numerical
simulations, necessary for the study of the model, taking into account that the model
could not be analytically solved.

Keywords: core-peripherical model, transport costs, industrial products, agricultural products.