%0 Report
        %A Pflüger, Michael P.
%A Suedekum, Jens
        %T On Pitchforks and Tomahawks
        %D 2007
        %8 2007 Dec
        %I Institute of Labor Economics (IZA)
        %C Bonn
        %7 IZA Discussion Paper
        %N 3258
        %U https://www.iza.org/publications/dp3258
        %X The core-periphery model by Krugman (1991) has two 'dramatic' implications: catastrophic agglomeration and locational hysteresis. We study this seminal model with CES instead of Cobb-Douglas upper tier preferences. This small generalization suffices to change these stark implications. For a wide range of parameters we find that the model exhibits instead a smooth and easily reversible transition from symmetry to agglomeration.
        %K bifurcation pattern
%K agglomeration
%K new economic geography
%K core-periphery model