OK, here it is, I’ll try to explain this urban behavioral model, The Gravity Model, as clearly as I can. It would probably be tricky to follow but fortunately, I’ll elaborate later on. So, deep breath…
My goal here is to show the mathematical equivalent of (don’t panic) Nash equilibrium on a large scale with many players. Just as in the example of the ice cream vendors, I am looking for the easiest way to explain why businesses are clustered in the city, using the simplest possible model.
Amazon and similar multinational companies have grown to become an essential part of world trade. Instead of going to the store, the store now comes to you. Well, this is convenient for the consumer, but what does it do to our cities? In the long run, the short-term profit of the private firm comes at what expense to the entire community?
If everything is so great, how come we have so much to complain about?
There are many articles discussing globalization but in my opinion the theory behind the phenomenon is lacking. I think that many people present globalization as if it is a clear-cut, good or bad issue. Doing so derails our ability to understand it. Globalization is good for some people and bad for others. To support one side of the debate and dismiss another is to turn your ears from the genuine distress of those beside you.
Why would people in one city prefer to ride bicycles more than their neighbors in the town over? Why is it that Uber is viable in some cities but not others? Can we explain the choices we make when preferring one means of transportation over another in one unified theory? Well, it turns out we can. This article starts with a simple request for the TV remote and ends with an analysis of the MAAS’s chances of replacing private ownership of cars.