ABSTRACT

Outs ide th is space, one or more zones have to have zero W{ they are in the NDP and this reduces the number of combinations relative to the system state with the maximum number of non-zero elements. All this means that, when modelling development, a rule has to be supplied to say which of the different possible equilibrium states is adopted. This may be to do with the maximisation of consumers I surplus. It may postulate that the maximum possible number of zones have nonzero W/s (though this may not be in itself sufficient to pick out a unique system state).