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Article Dans Une Revue Mathematical Social Sciences Année : 2021

Schelling paradox in a system of cities

Emmanuel Auvray
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Résumé

In this theoretical article, we develop a unified framework that encapsulates: i) — a system of heterogeneous cities, ii) — heterogeneous workers, iii) — the presence of agglomeration economies and congestion forces, and iv) — heterogeneous city composition preferences. We provide a full analytical characterization of the decentralized and centralized economies. Contrary to conventional wisdom, we show that social mixing can constitute a unique and stable equilibrium. We also disentangle the different economic factors that shape within- and across-city social/income dispersion. We also find that individuals’ preferences be overturned at an aggregate scale, which is consistent with Schelling paradoxical findings. We then offer a rationale for these counterintuitive results. Last, we demonstrate that the decentralized economy is not optimal but can be restored by local subsidies.
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hal-04204673 , version 1 (22-07-2024)

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Vincent Boitier, Emmanuel Auvray. Schelling paradox in a system of cities. Mathematical Social Sciences, 2021, 113, pp.68-88. ⟨10.1016/j.mathsocsci.2021.04.004⟩. ⟨hal-04204673⟩

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