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Consider an office firm in a monocentric city. The labor-cost function is?=60?6?, where x is the distance to the city center (from 0 km to

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Consider an office firm in a monocentric city. The labor-cost function is?=60?6?, where x is the distance to the city center (from 0 km to 5 km). The interaction cost (for travel between the office firms is?=12+

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