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		| Carl  Gaigné and Stéphane  Riou | 
	
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		| ''Technical change and agglomeration'' | 
	
		| ( 2007, Vol. 18 No.3 ) | 
	
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		| Although economic historians consider technical change to be a significant factor explaining the evolution of the spatial organization of an economy, economic geography still fails to address this important issue. By developing a simple two-region general equilibrium model under monopolistic competition, we show that agglomeration is triggered by technological progress shifting production towards more skill intensive techniques. | 
	
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		| Keywords: Skill-biased change  economic geography | 
	
		| JEL: R1 - General Regional Economics (includes Regional Data) F1 - Trade: General
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		| | Manuscript Received : Apr 03 2007 |  | Manuscript Accepted : Apr 10 2007 | 
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