On Planning and Forecasting the Location of Retail and Service Activity

Roy, J.R. & Johansson, B. (1984). On Planning and Forecasting the Location of Retail and Service Activity. IIASA Research Report (Reprint). IIASA, Laxenburg, Austria: RR-85-006. Reprinted from Regional Science and Urban Economics, 14 [1984].

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Abstract

In countries with mixed economies, planning authorities cannot usually enforce micro location and travel decisions of urban activities, but are confined to forming macro location and transport policy, within which agents can operate according to the market. An attempt is made here to describe such multilevel behavior of the planning authority, landlords, firms and customers, and to obtain non-cooperative equilibria in terms of controls exerted by each group. The behaviour of the market groups is described via entropy maximization, while alternative modes of behaviour are ascribed to the authority. In addition, a Pareto-type solution is examined

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