A FRAMEWORK FOR REGIONAL MODELING AND IMPACT ANALYSIS: AN ANALYSIS OF THE DEMAND FOR ELECTRICITY BY LARGE MUNICIPALITIES IN ONTARIO,CANADA*

ABSTRACT. We propose a mixed fixed and random coefficients framework for regional modeling. The framework allows the presence of both the region-specific effects and commonality of responses across regions. Bayes solutions for estimating parameters of interest and for generating predictions are derived. Within a Bayesian framework a predictive density approach to evaluate the impact of changes is suggested. We apply the methodology to evaluate the impact of new rate structures on Ontario regional demand for electricity.     

THE REGIONAL MALL IN CANADA

Over the last three decades, regional shopping malls have become significant features of the Canadian urban landscape. They account for the largest concentrations of employment, retail sales, and trip destinations outside the central business district, and they reshape patterns of accessibility within communities. This article examines the number, economic role, location, and implication of these facilities, in Canada, and contrasts them with similar malls in the United States. By 7 986, there were 84 regional malls with more than 500 000 sq. ft. of space in Canada, and these malls accounted for 10 per cent of all retail sales.     

ONCE AGAIN: TESTING FOR REGIONAL HOMOGENEITY*

ABSTRACT. Summarizing the foregoing discussions in this journal on testing for regional homogeneity the present note shows that in the model of Zellner's seemingly unrelated regressions one test statistic may be used not only to test for overall homogeneity but also to examine for individual coefficient homogeneity. This aim is achieved by varying the linear restrictions in the test statistic according to different problems. To illustrate these tests regional consumption functions for the 11 Bundesläder (States) of the Federal Republic of Germany are used.     

A REGIONAL CONSUMER DEMAND MODEL FOR NEW ZEALAND*

ABSTRACT. This paper discusses the formulation and estimation of sets of demand systems for six New Zealand regions. The chosen model is based on the Linear Expenditure System, constrained in various ways to take account of interregional differences in consumer behaviour. Our results suggest that income and price elasticities of demand vary significantly between regions, suggesting that regional employment and output patterns are likely to differ in their responses to changes in aggregate demand.     

AGGLOMERATION VERSUS PRODUCT VARIETY: IMPLICATIONS FOR REGIONAL INEQUALITIES*

ABSTRACT We investigate how cross‐country differences in firms' fixed set‐up costs affect the trade‐off between global efficiency and spatial equity. Our analysis reveals that the standard assumption of symmetry in set‐up costs masks the existence of an interesting effect: the range of available varieties depends on the spatial distribution of firms. In such a setting, where the market outcome leads to excessive agglomeration in the symmetric case, a planner may opt for asymmetric set‐up costs and even more agglomeration. We show that the planner will always favor lower set‐up costs in the large country with more agglomeration when the consumer's marginal preference for variety is high, or with less agglomeration when the consumer's marginal preference for variety is low.