  Two spatial equilibria, agglomeration and dispersion, in a continuous space
core-periphery model are examined to discuss which equilibrium is socially
preferred. It is shown that when transport cost is lower than a critical value,
the agglomeration equilibrium is preferable in the sense of Scitovszky, while
when the transport cost is above the critical value, the two equilibria can not
be ordered in the sense of Scitovszky.
