IS TRUST A DRIVER FOR TERRITORIALLY EMBEDDED INDUSTRIAL SYSTEMS? A CASE STUDY OF THE HOME‐BUILDING INDUSTRY IN NORWAY

Trust is said to be necessary for creating and maintaining territorially embedded industrial systems. On the basis of data for the Norwegian home‐building sector, this article analyses trust and price competition; how trust is built and dismantled; and trust and place. The main findings are that: trust and price competition interact, but trust is more important in the design and planning phases than in the construction phase; economic factors are important for building trust, together with competence and team work; and trust is related to space, partly through places embodied in trust and partly through trust embedded in places. However, this embeddedness is not like that which has long been claimed to exist in territorially embedded industrial systems, but embeddedness where trust acts as a reinforcement, contingent upon other factors, as a capacity restraint and a socially constructed need for face‐to‐face meetings.     

The Effect of Social Networks on Resource Access and Business Start-ups

In previous research, entrepreneurs' social networks are expected to influence entrepreneurial success because they give access to resources. This is confirmed in this study. In most research it is also believed that network features such as strength of ties determine to a great extent what kind of resources the entrepreneur receives. Although this last assumption has important implications for entrepreneurship research and for practice, the validity of the assumption has not been put to the test in previous research. The analysis of data from an empirical study of entrepreneurs in Norway gives at best partial support for the assumption. Contrary to what should be expected, the results indicate that strong ties are important channels for information and that weak ties give access to finance.     

Interpreting the expansion of sea fishing in medieval Europe using stable isotope analysis of archaeological cod bones

Archaeological fish bones reveal increases in marine fish utilisation in Northern and Western Europe beginning in the 10th and 11th centuries AD. We use stable isotope signatures from 300 archaeological cod (Gadus morhua) bones to determine whether this sea fishing revolution resulted from increased local fishing or the introduction of preserved fish transported from distant waters such as Arctic Norway, Iceland and/or the Northern Isles of Scotland (Orkney and Shetland). Results from 12 settlements in England and Flanders (Belgium) indicate that catches were initially local. Between the 9th and 12th centuries most bones represented fish from the southern North Sea. Conversely, by the 13th to 14th centuries demand was increasingly met through long distance transport – signalling the onset of the globalisation of commercial fisheries and suggesting that cities such as London quickly outgrew the capacity of local fish supplies.     

An Empirically Based Implementation and Evaluation of a Hierarchical Model for Commuting Flows. 一种基于经验的层状通勤流模型实现与评估

This article provides an empirical evaluation of a hierarchical approach to modeling commuting flows. As the gravity family of spatial interaction models represents a benchmark for empirical evaluation, we begin by reviewing basic aspects of these models. The hierarchical modeling framework is the same that Thorsen, Ubøe, and Nævdal (1999) used. However, because some modifications are required to construct a more workable model, we undertake a relatively detailed presentation of the model, rather than merely referring to the presentation in Thorsen, Ubøe, and Nævdal (1999) . The model uses a hierarchical specification of a transportation network and the individual search procedure. Journeys to work are determined by the effects of distance deterrence and of intervening opportunities, and by the location of potential destinations relative to alternatives at subsequent levels in a transportation network. The model calibration uses commuting data from a region in western Norway. The estimated parameter values are reasonable, and the explanatory power is very satisfactory when compared with the results of a competing destinations approach.     

Empirical Evaluation of Alternative Model Specifications to Predict Commuting Flows

This study is devoted to empirical and modeling aspects on how characteristics of spatial structure influence commuting flows. Within a doubly-constrained framework, results from a competing-destinations formulation are evaluated and compared to results from the traditional gravity model. The evaluation depends critically upon the specification of within-zone journeys-to-work. Specific labor-market characteristics are found to be significant to explain how workers are absorbed in diagonal elements of the trip-distribution matrix. We also find that the parametric specification of the accessibility measure is important, and that the competing-destinations formulation is superior to the traditional gravity model.     

TNC Strategies and Variations in Intra-firm Trade: The Case of Foreign Manufacturing Affiliates in Sweden

The aim of this paper is to contribute to the understanding of the forms and determinants of intra-firm trade, i.e. international trade between different units under common TNC ownership, this being a major indication of 'deep economic integration' between developed countries in the 1990s. Theoretically, intra-firm trade can be explained by the existence of economies of common governance and are often found to be associated with R&D-intensive industries and economies of scale. In empirical studies, intra-firm trade is often found to consist of intermediate inputs goods, resulting in vertically integrated production chains. The study is based on detailed firm-level data from around 300 foreign majority-owned affiliates (MOFAs) in manufacturing, in Sweden in 1993. The results show that intra-firm sales by MOFAs in Sweden are as high as those found in studies of manufacturing affiliates of US TNCs. Almost all of MOFAs' intra-firm exports are finished products, while intra-firm imports consist of material inputs and finished products for resale. This suggests that these MOFAs are only marginal involved in vertically integrated production chains, especially in terms of exports. The results of a regression analysis complement earlier studies by showing that the level and composition of intra-firm trade is significantly affected by the international strategy applied by TNCs when operating foreign manufacturing affiliates. Intra-firm exports of finished products and material inputs are positively associated with efficiency-seeking FDI, e.g. affiliates engaged in rationalised production. Market-seeking FDI is associated with intra-firm imports of complementary finished products for resale. By contrast, resource-seeking and strategic asset-seeking FDI was negatively associated with intra-firm trade.     

ACCOUNTING FOR LOCAL SPATIAL HETEROGENEITIES IN HOUSING MARKET STUDIES

We adopt a novel method to deal with omitted spatial heterogeneities in hedonic house price analysis. A Gaussian variant of the conditional autoregressive (CAR) model is used to study the impact of spatial effects. In a general linear modeling framework, we include zone‐specific random effects that are allowed to interact spatially with neighboring zones. The results demonstrate that this estimator accounts for missing spatial information, producing more reliable results on estimated spatially related coefficients. The CAR model is benchmarked against a fixed effects model. Socioeconomic neighborhood characteristics are found to have only modest impact on spatial variation in housing prices.     

Detecting the medieval cod trade: a new method and first results

This paper explores the potential of stable isotope analysis to identify the approximate region of catch of cod by analysing bones from medieval settlements in northern and western Europe. It measures the δ¹³C and δ¹⁵N values of cod bone collagen from medieval control samples collected from sites around Arctic Norway, the North Sea, the Kattegat and the Baltic Sea. These data were considered likely to differ by region due to, for example, variation in the length of the food chain, water temperature and salinity. We find that geographical structuring is indeed evident, making it possible to identify bones from cod caught in distant waters. These results provide a new methodology for studying the growth of long-range trade in dried cod and the related expansion of fishing effort—important aspects of the development of commercialisation in medieval Europe. As a first test of the method, we analyse three collections of cod bones tentatively interpreted as imported dried fish based on a priori zooarchaeological criteria. The results tentatively suggest that cod were being transported or traded over very long distances since the end of the first millennium AD.     

A Network Approach to Commuting

In this paper we present a model for commuting in a network of towns. A basic assumption is that all individuals have a given residential location and that every node in the network has a fixed number of jobs. We then propose a general model for the commuting of labor between the nodes in the network.