Human-Social Information Sciences

Socio-Economic Analysis of Urban System C09

  • Assoc. Prof. Ryo Itoh      
  • Assis. Prof. Yang Zhang    
KeywordsUrban Economics, Spatial Economics, Transportation, migration, Agglomeration, Input-output

Economic Mechanisms of City Formation and Agglomeration

Individual cities, interconnected by transportation and communication networks, collectively form an organic "urban system" through the movement of people, goods, services, and knowledge. In today's globalizing world, while people and goods move across the globe, multinational corporations manage their operations with a simultaneous overview of global markets. Consequently, cities are increasingly forming socioeconomic systems that transcend national borders. At the same time, regions face various challenges, including the reorganization of regional economies and urban structures due to diversifying lifestyles and an aging population with a low birthrate, as well as unipolar concentration in megacities and the resulting problems of overcrowding and depopulation. It is now imperative for cities and regions to take proactive roles in addressing these issues through mutual cooperation.

Rooted in the theories of urban and industrial agglomeration, this laboratory elucidates the dynamic processes of how urban and regional systems are formed, grow, decline, and revitalize. Concurrently, we conduct quantitative analyses of policies aimed at achieving urban and regional development. We approach these issues through an interdisciplinary field known as "Regional Science," which synthetically mobilizes related fields such as Urban Economics, Transport Economics, and International Economics. Our current primary research themes are as follows:
 
Theory and Application of Spatial Economics
Within the expanse of geographical space, we examine where economic agents—such as households and firms—locate themselves. Using mathematical models based on microeconomics and game theory, we clarify the interactions of these spatial strategies and the behavior of their long-term equilibria. Furthermore, we propose policies to address social issues such as inequality and migration, resolve externalities that cause inefficiencies like congestion and agglomeration, and analyze the impact of transportation infrastructure on spatial structures. We also conduct numerical simulations to evaluate the effectiveness of these policies.
 
Empirical Economic Analysis Using Geographical Data
Based on the theories of spatial economics, we aim to rigorously clarify the mechanisms behind various phenomena and policy effects. This is achieved through statistical causal inference, such as Difference-in-Differences (DID) analysis, using geographical data on population distribution, migration, inter-regional trade, land prices, and firm location. Additionally, we are working to elucidate human behavior within cities by utilizing large-scale, high-granularity data, such as mobile phone location information.
  • A scene of lab seminar

  • Scientific Journals in Regional Science