Spatial heterogeneity recently attracts increasing attentions. Since economic globalization links the economy of one country inseparably with the rest of the world, a framework becomes necessary that is capable of considering several economies simultaneously. Spatial heterogeneity is also indispensable to derive the solutions to the important social problems. Our division approaches to the problems in both theoretical and empirical ways. Some of the topics include:

  1) Alonso type models for urban problems: How to keep the service levels when the existing facilities are consolidated under declining population, and how the costs should be borne by municipalities which jointly build a NIMBY facility?

  2) Transition of spatial population structure: Temporal changes in the spatial structure of metropolitan population are analyzed by means of a multi-regional cohort model based on the small-area census data.

  3) Land use analysis and random bid rent: The relationship with random utilities is discussed, and the importance of heteroscedasiticity is emphasized when applying a random bid model to macro zones and usages,

  4) Spatial Computable General Equilibrium (SCGE) model: A consistent way to describe the spatial price equilibrium considering the role of transport sector, and a way to assess the value added attributable to each country after repercussions of international trade are studied.

  5) Econometrics of spatial data: Various types of contiguity matrices in spatial autocorrelation models are examined, and test statistics for space-time autocorrelation models are proposed.