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The uneven geographical distribution of economic activities is a huge challenge worldwide and also for the European Union. In Krugman’s New Economic Geography economic systems have a simple spatial structure. This book shows that more sophisticated models should visualise the EU as an evolving trade network with a specific topology and different aggregation levels. At the highest level, economic geography models give a bird eye’s view of spatial dynamics. At a medium level, institutions shape the economy and the structure of (financial and labour) markets. At the lowest level, individual decisions interact with the economic, social and institutional environment; the focus is on firms’ decision on location and innovation. Such multilevel models exhibit complex dynamic patterns – path dependence, cumulative causation, hysteresis – on a network structure; and specific analytic tools are necessary for studying strategic interaction, heterogeneity and nonlinearities.

Economics/Management Science. --- Regional/Spatial Science. --- Economic Geography. --- Complex Systems. --- Game Theory/Mathematical Methods. --- European Integration. --- Game Theory, Economics, Social and Behav. Sciences. --- Economics. --- Geography. --- Mathematics. --- Europe --- Regional economics. --- Economics, Mathematical. --- Economie politique --- Géographie --- Mathématiques --- Economie régionale --- Mathématiques économiques --- Economic policy. --- Sociology & Social History --- Management --- Business & Economics --- Social Sciences --- Management Theory --- Communities - Urban Groups --- Economic geography --- Mathematical models. --- Econometric models. --- Geographic models --- Economic geography. --- Game theory. --- System theory. --- Economic theory. --- European Economic Community literature. --- Spatial economics. --- Economic Theory/Quantitative Economics/Mathematical Methods. --- European Economic Community lite. --- Math --- Science --- Economic theory --- Political economy --- Social sciences --- Economic man --- Cosmography --- Earth sciences --- World history --- Economics --- Regional planning --- Regionalism --- Space in economics --- Games, Theory of --- Theory of games --- Mathematical models --- Mathematics --- Systems, Theory of --- Systems science --- Geography, Economic --- World economics --- Geography --- Commercial geography --- Spatial economics --- Regional economics --- Philosophy

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This book is open access under a CC BY-NC 4.0 license. This collected volume represents the final outcome of the COST Action IS1104 “The EU in the new complex geography of economic systems: models, tools and policy evaluation”. Visualizing the EU as a complex and multi-layered network, the book is organized in three parts, each of them dealing with a different level of analysis: At the macro-level, Part I considers the interactions within large economic systems (regions or countries) involving trade, workers migration, and other factor movements. At the meso-level, Part II discusses interactions within specific but wide-ranging markets, with a focus on financial markets and banking systems. Lastly, at the micro-level, Part III explores the decision-making of single firms, especially in the context of location decisions.

Physics. --- Economic theory. --- Industrial organization. --- Macroeconomics. --- European Economic Community literature. --- Regional economics. --- Spatial economics. --- Data-driven Science, Modeling and Theory Building. --- Regional/Spatial Science. --- Macroeconomics/Monetary Economics//Financial Economics. --- Industrial Organization. --- European Integration. --- Economic Theory/Quantitative Economics/Mathematical Methods. --- Spatial economics --- Industries --- Economic theory --- Political economy --- Natural philosophy --- Philosophy, Natural --- Organization --- Economics --- Regional economics --- Regional planning --- Regionalism --- Space in economics --- Industrial concentration --- Industrial management --- Industrial sociology --- Social sciences --- Economic man --- Physical sciences --- Dynamics --- European Economic Community lite. --- Sociophysics. --- Econophysics. --- Statistical physics --- Mathematical sociology --- Statistical methods --- economic geography --- complex networks analysis --- spatial econometrics --- COST Action IS1104 --- systemic risk --- heterogeneous agents --- multinational enterprises