Batabyal and Beladi [1] have recently analyzed amodel of competition between two cities that use a local public good (LPG) toattract members of the creative class. The creative class consists of artists and engineers and they study the behavior of a representative artist and an engineer. In this note, we explorethree implications of the use of this “representative artist and engineer”modeling strategy. First, we show that the use of such a strategy can lead oneto study an inefficient equilibrium in the aggregate economy. Second, we pointout that in this inefficient equilibrium, the beliefs of the representativeartist and the engineer are inconsistent. Finally, we contend that if we departfrom the “representative artist and engineer” construct and focus instead onthe entire creative class population which we model as a continuum, then the inefficient equilibrium mentioned above can beturned into an efficient equilibrium.
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