TESTING URBANIZATION ECONOMIES IN MANUFACTURING INDUSTRIES: URBAN DIVERSITY OR URBAN SIZE?

ABSTRACT Whether urbanization economies stem from urban diversity or urban scale is not clear in the literature. This paper uses the 2004 China manufacturing census data and tests simultaneously the effects of urban size and industrial diversity on firm productivity, controlling for localization economies and human capital externalities. We find that productivity increases with city size—but at a diminishing rate, and the city size effect becomes negative for cities with population over two million. Firms also benefit from industrial diversity, and the strength of such benefit increases with city size but decreases with firm size. The characteristics of agglomeration economies in a transition economy are also discussed.     

REGIONAL LABOR PRODUCTIVITY IN THE NETHERLANDS: EVIDENCE OF AGGLOMERATION AND CONGESTION EFFECTS*

ABSTRACT This paper studies the impact of localization, urbanization, and diversification on regional labor productivity levels and growth. We find substantial effects, accounting for roughly half of the explained variation in the labor productivity differences within the Netherlands in the 1990s. Diversification, urbanization, and localization effects are significant and positive for productivity levels. These levels appear cointegrated. The error correction specification of productivity growth surprisingly reflects negative agglomeration effects. From the theoretical model it follows that congestion effects must have taken precedence over agglomeration effects during this period. Both agglomeration and congestion effects are dampened by job density in neighboring regions. Finally, policy simulations with the estimated model show that spatial concentration is more harmful to national productivity growth than spatial dispersion.     

运用空间自相关分析集聚经济类型的地理格局

集聚经济的类型决定着区域经济的发展方向。传统的度量指标是基尼系数、Ellison-Glaeser指数等,但这类指标却没有考虑相邻地区间经济的相互影响。据此,本文提出用空间自相关方法,衡量区域的集聚经济水平,并且利用2002年江苏省县级工业数据,实证分析和探讨江苏省城市化和地方化集聚经济的地理格局。     

THE DETERMINANTS OF LOCALIZATION AND URBANIZATION ECONOMIES: EVIDENCE FROM THE LOCATION OF NEW FIRMS IN SPAIN

The objective of this paper is to analyze why firms in some industries locate in specialized economic environments (localization economies) while those in other industries prefer large city locations (urbanization economies). To this end, we examine the location decisions of new manufacturing firms in Spain at the city level and for narrowly defined industries. First, we estimate firm location models to obtain estimates that reflect the importance of localization and urbanization economies in each industry. Then, we regress these estimates on industry characteristics related to the potential importance of labor market pooling, input sharing, and knowledge spillovers. Urbanization effects are high in knowledge‐intensive industries, suggesting that firms locate in large cities to benefit from knowledge spillovers. We also find that localization effects are high in industries that employ workers whose skills are more industry‐specific, suggesting that industries locate in specialized economic environments to share a common pool of specialized workers.     

The Location Choice of Foreign Direct Investment Within Turkey: An Empirical Analysis

This paper investigates the location choice of foreign direct investment (FDI) in Turkey over the period 1996–2003. Using FDI data at the provincial level and negative binomial model, the empirical evidence confirms that agglomeration economies and information costs are the most important determinants of FDI location in Turkey. Specifically, both foreign and domestic agglomerations and in particular urbanization economies strongly affect the location decision of foreign investors. The results also suggest that foreign investors are attracted to provinces with fast growing market, more educated labour force, high density of road network, greater public investment, milder climate, larger area and better quality of life. On the other hand, the empirical findings show that wage, productivity, labour availability, unionization, sea and air transportation, free zones and instability have no significant impacts on the location decision.     

Spatial Agglomeration of Manufacturing in Greece: Sectoral Patterns and Determinants

This article aims to demonstrate how the industry characteristics of manufacturing sectors affect the patterns of their spatial agglomeration. It also addresses several intricate issues concerning the measurement of localization economies and estimation of their main determinants in manufacturing industries. The original empirical analysis employs annual industrial data from the Hellenic Statistical Authority (ELSTAT) during the period 1993–2006 in Greece at the prefecture level, i.e. for 51 prefectures. The data processing reveals three important findings. The first is the temporal persistence of localization economies in the Greek manufacturing. The second refers to the high level of agglomeration associated with the high-technology industries as well as the resource- and scale-intensive industries. Lastly, there are significant effects of industry characteristics related to knowledge externalities, labour skills and productivity, scale economies and own-transport expenditure on spatial agglomeration, as resulted from the use of alternative geographic concentration indices and panel data models. Results obtained have implications for policy-makers, who can enhance the regional manufacturing activity by affecting these industry-specific factors. Amongst others, planning measures and policies which aim at promoting the local development and regional convergence should focus on reducing transport costs for firms or sectors, by improving the infrastructure capacity, interconnectivity and quality of services.     

AGGLOMERATION,URBAN WAGE PREMIUMS,AND COLLEGE MAJORS

The aim of this paper is to examine the manner and extent to which worker skill type affects agglomeration economies that contribute to productivity in cities. I use college majors to proxy for skill types among workers with a bachelor's degree. Workers with college training in information‐oriented and technical fields (e.g., STEM areas such as engineering, physical sciences, and economics) are associated with economically important within‐field agglomeration economies and also generate sizeable spillovers for workers in other fields. In contrast, within‐field and across‐field spillovers for workers with college training in the arts and humanities are much smaller and often nonexistent. While previous research suggests proximity to college‐educated workers enhances productivity, these findings suggest that not all college‐educated workers are alike. Instead, positive spillover effects appear to derive mostly from proximity to workers with college training in information‐oriented and technical fields.     

DISENTANGLING AGGLOMERATION ECONOMIES: AGENTS,SOURCES, AND SPATIAL DEPENDENCE*

ABSTRACT This paper expands the literature on agglomeration economies in three ways. It disentangles amenity and productivity effects of agglomeration; it decomposes aggregate scale effects into agglomeration factors of interest to policy makers; and it estimates own effects and spillovers to neighbors. It proposes a spatial simultaneous equations model in a spatial equilibrium framework with three agents—workers, consumers, and producers of traded‐goods and housing. Results for Ohio counties estimate economies resulting from population size, agglomeration causes, and public service quality and cost on each of the three agents in own and neighboring counties.     

TOTAL FACTOR PRODUCTIVITY GROWTH AND AGGLOMERATION ECONOMIES IN MANUFACTURING, 1959-73*

ABSTRACT This paper investigates the determinants of productivity growth in the manufacturing sector of states over the period 1959-1973. Special emphasis is placed on isolating the effects of a state's urbanization characteristics on productivity growth. Urbanization characteristics considered include the spatial arrangement of cities along with the standard measures of urbanization. The results indicate that while both scale economies and technical change are related to urbanization characteristics the effects tend to be offsetting; no relationship is found between urbanization and overall productivity growth as measured by total factor productivity growth.     

Agglomeration economies and productivity differences in US cities

Plant-level data from the Longitudinal Research Database ofthe US Bureau of the Census are employed to estimate the impactof agglomeration economies on industry productivity across USmetropolitan areas. This analysis seeks to remedy three shortcomingsof previous empirical studies of agglomeration economies: relianceon aggregate spatial or sectoral data; lack of attention tospatial dependence in data; and representation of agglomerationeconomies with vague proxies such as city-size. We show howa number of establishment-, industry-, and city-specific factorsinfluence labor productivity across US cities, and we pay particularattention to separating the influence of different kinds ofagglomeration economies on firm efficiency. Here we follow Marshall'sPrinciples of Economics in examining the spatial concentrationof input–output linkages, the character of local laborpools and embodied technological spillovers.     

区域旅游一体化的理论建构与战略设计——以京津冀为例

本文分析了区域旅游一体化的静态和动态经济效益,运用新经济地理学理论研究了区域旅游一体化效益的产生机制,并总结了区域旅游一体化的五种主要模式。以京津冀区域为典型案例,分析了京津冀旅游一体化的背景条件和主要举措,认为京津冀旅游一体化已进入中级阶段,在扩大旅游企业市场规模、串联旅游线路体系、获取内部规模经济和本地化经济等方面已取得长足进展,未来发展的重点应集中在获取城市化经济、鼓励旅游企业跨行政区合作、建立常设性旅游管理机构等方面。     

HAVE CHANGES IN LOCALIZATION ECONOMIES BEEN RESPONSIBLE FOR DECLINING PRODUCTIVITY ADVANTAGES IN LARGE CITIES?*

This paper investigates whether economies of urbanization and localization changed in two-digit manufacturing industries over the period 1967-1977. Estimates of changes in such economies indicate that the localization advantages of large industries declined in several industries, but that urbanization advantages increased for a small number of industries and decreased for a small number. Moreover, the absolute change in two-digit industry employment tends to be negatively correlated with industry size, city size held constant, and positively associated with city size, industry size held constant. These latter findings tend to support the findings regarding changes in external economies.     

A novel typology of media clusters

Is the clustering of audio-visual companies in London’s Soho really the same as the clustering of Berlin’s new media industry? The media cluster approach has gained a lot of attention not only in academia, but also in political discourse. But, as appealing as the media cluster concept is, one of the most fundamental issues is the comparability of the phenomenon. This article tackles this issue and an analysis of 43 case studies has been conducted. The case studies have been grouped to find a new typology for media clusters. The research revealed six different types: The Creative Region, the Giant Anchor, the Specialized Area, the Attracting Enabler, the Real Estate and the Pooling Initiative. The typologies showed that they distinguish especially in their geographical scale and specialization in media activities, while at the same time cluster types can be found in the same area. They are driven by four rationales: agglomeration, urbanization, localization economies and artificial formation.     

AGGLOMERATION,TRADE, AND SPATIAL DEVELOPMENT: BRINGING DYNAMICS BACK IN*

ABSTRACT The field of spatial economics has made enormous progress in theorizing and measuring agglomeration effects, trade costs, and urbanization. Typical models establish structural determinants by making strong assumptions about which forces are relevant and how these forces interact. But many of these assumptions, about firms, agents, spatial costs, and market structures, are questionable. As a result, the field has a long way to go to establish causality, and to be able to account for spatial economic dynamics.     

Agglomeration economies and the location of foreign direct investment: A meta‐analysis

This paper undertakes a meta‐analysis of the effect of agglomeration economies on foreign direct investment (FDI) location. It finds strong differences in these economies arising from both measurement and study‐specific characteristics. Economies generated from domestic rather than foreign activity have the strongest effects on FDI, with the latter only significant if related to the home country of the investor. Support is also found for studies that identify different sources of agglomeration economies, although this is largely underexplored in the empirical literature. The average agglomeration economies estimate is not influenced by publication bias and indicates genuine effects for agglomeration economies on FDI location choice.     

THE MAGNITUDE AND CAUSES OF AGGLOMERATION ECONOMIES*

ABSTRACT Firms and workers are much more productive in large and dense urban environments. There is substantial evidence of such agglomeration economies based on three approaches. First, on a clustering of production beyond what can be explained by chance or comparative advantage. Second, on spatial patterns in wages and rents. Third, on systematic variations in productivity with the urban environment. However, more needs to be learned about the causes of agglomeration economies. We have good models of agglomeration through sharing and matching, but not a deep enough understanding of learning in cities. Despite recent progress, more work is needed to distinguish empirically between alternative causes.     

长株潭城市群城镇化进程与水资源利用响应关系研究

采用层次分析法与熵权法相结合的方法,构建长株潭城市群城镇化综合发展水平和水资源开发利用综合潜力评价指标体系及响应关系模型,对2001-2015年间研究区域城镇化发展进程与水资源利用之间的动态过程进行定量研究,分析主要影响因素、变化特征以及两者响应特征。结果表明：长株潭城市群处于快速城镇化和规模扩张阶段,人口城镇化和空间城镇化水平高于经济城镇化和社会城镇化水平,城镇化发展质量有待提升;区域用水负荷逐年增加,虽然水资源利用效率和管理水平稳步提升,但水资源自然禀赋和开发利用程度受区域水文条件的影响显著。在2001、2005、2007、2009、2011年,长株潭区域城镇化的发展在一定程度上受到水资源系统的约束。协调好城镇化与水资源之间的关系,必须改变规模外延扩张模式,以控制水资源总量、有效提高水资源利用效率为目标,减弱水资源系统对城镇化发展的制约,提高水资源保障能力。     

THE EFFECT OF URBANIZATION ON LABOR TURNOVER*

ABSTRACT The paper empirically examines labor market matching as a source of urban agglomeration economies. We work from the hypothesis that job turnover leads to tighter labor matches and estimate the relationship between urbanization and the job mobility of young men. Using a panel from the National Longitudinal Survey of Youth, we find evidence that young men change jobs more frequently in their early career if they live in larger or in more educated urban areas. The sensitivity of the results to whether the young men were “movers” or “stayers” suggests the possible endogeneity of location.     

SPATIAL IMPACTS OF AGGLOMERATION EXTERNALITIES*

ABSTRACT This article examines the extent to which agglomeration economies in one location affect employment growth and establishment births, using data from the Dutch province of South‐Holland. The data are of particular interest because they represent a census, rather than a sample, of all establishments and the location of establishments can be pinpointed to within 416 (postal) zip code areas averaging less than 6 km² in size. Results suggest that agglomeration economies positively affect employment growth and the location of new establishments, but with the possible exception of manufacturing, this effect dies out quickly with distance. Thus, the main finding is that for many industries, agglomerative forces may well operate at a geographic scale that is smaller than a city.     

THE COMPLEMENTARITY BETWEEN CITIES AND SKILLS*

ABSTRACT There is a strong connection between per‐worker productivity and metropolitan area population, which is commonly interpreted as evidence for the existence of agglomeration economies. This correlation is particularly strong in cities with higher levels of skill and virtually nonexistent in less skilled metropolitan areas. This fact is particularly compatible with the view that urban density is important because proximity spreads knowledge, which either makes workers more skilled or entrepreneurs more productive. Bigger cities certainly attract more skilled workers, and there is some evidence suggesting that human capital accumulates more quickly in urban areas.