nep-geo New Economics Papers
on Economic Geography
Issue of 2012‒01‒10
ten papers chosen by
Vassilis Monastiriotis
London School of Economics

  1. Identificarea disparităților regionale privind ocuparea populatiei pe domenii de activitate în România în anul 2009 By Rotaru, Paul Costel
  2. Explaining TFP at firm level in Italy. Does location matter? By Aiello, Francesco; Pupo, Valeria; Ricotta, Fernand
  4. Voting under the threat of secession: accommodation vs. repression By Vincent Anesi; Philippe De Donder
  5. Contagious Migration: Evidence from the Philippines By Abrigo, Michael Ralph M.; Ramaswami, Bharat; Desierto, Desiree A.
  6. Quality of Life, Firm Productivity, and the Value of Amenities across Canadian Cities By David Albouy; Fernando Leibovici; Casey Warman
  7. ¿Puede ser considerado el auge antioqueño de la segunda mitad del siglo XIX un modelo de desarrollo económico local? By Mejía Cubillos, Javier
  8. Structural Convergence of the Central and Eastern European Countries: Achivements in the Last Decade By Tatomir, Cristina F.
  9. The market for real estate brokerage services in low- and high-income neighborhoods: A 6 city study By Yelowitz, Aaron; Scott, Frank; Beck, Jason
  10. Are geographical indications a worthy quality signal? A framework with endogenous quality choice By Desquilbet, Marion; Monier-Dilhan, Sylvette

  1. By: Rotaru, Paul Costel
    Abstract: One of the difficult issues of the economic territorial strategies and policies is represented by the highlighting and quantifying of the regional disparities. The disparities existing among different areas and regions express differences among the development levels generated by both the conditions of economic, demographic and historical development, and the varying endowment with natural resources. The aim of this research is to identify the differences between the eight regions of Romania regarding the population employment in respect of activity fields. The statistical method used for analyzing the data and highlighting the regional disparities is the correspondences factorial analysis (CFA).
    Keywords: regional disparities; regional development; employed population; CFA
    JEL: E24 J21 C01
    Date: 2011–12–20
  2. By: Aiello, Francesco; Pupo, Valeria; Ricotta, Fernand
    Abstract: This study considers how firms’ internal variables and regional factors affect the total factor productivity of Italian manufacturing firms. Due to of the hierarchical structure of data in estimation, we employ a multilevel model. Results, which refer to 2006, show the importance of firm-specific determinants of TFP, but at the same time confirm the role of regional context in explaining the gap in TFP levels which exist between the South and the North of Italy. In this respect, we show that northern firms are localised in regions with adequate endowment of infrastructure, with efficient public administration and with high R&D intensity and, as a result of these factors, perform better than firms operating in less well endowed regions.
    Keywords: Manufacturing Firms; Total Factor Productivity; Italian Regional Divide; Multilevel Models
    JEL: R11 O14 L60
    Date: 2011–12–30
  3. By: Peter Friedrich; Chang Woon Nam
    Abstract: This study investigates major features of land-use strategies that German municipalities have adopted to attract innovative firms (IFs). In this context a two-stage competition model is introduced: firstly a municipality should solve economic and interest conflicts related to its preference for high-quality sites for IFs against the land needs of simple manufacturers. The second part of the model describes location competition among municipalities with high-quality sites for the location of IFs. German municipal land-use policy is well combined with industrial policy; this paper reveals the strengths and weaknesses of the urban real estate market in Potsdam, and its future opportunities and risks as the location of different economic activities are determined in the planning process. Science Park Adlershof (Berlin) is an output of the spatial-oriented technology policy, which creates incubators for innovative SMEs. Municipalities also cooperate, since it provides larger sites, generates economies of scale and contributes to a smooth suburbanisation process (see Leipzig).
    Keywords: Land-use Policy, Municipal Regional Competition, Two-stage Competition Model, Zoning, Technology Park
    JEL: H42 H54 L3 O18 O3 R14 R52 R58
    Date: 2011
  4. By: Vincent Anesi (University of Nottingham); Philippe De Donder (Toulouse School of Economics)
    Abstract: We build a simple model of secession crises where a majority of voters may wish to accommodate the minority in order to prevent a secession attempt. We first show the existence of a majority voting equilibrium, where the median voter is decisive and most prefers a government’s type that is biased in favor of the minority. We then propose a measure of the secession risk at equilibrium and perform the comparative static analysis of the equilibrium policy location and of the secession risk with respect to several parameters: the cultural distinctiveness of the two regions, the relative weight attached by voters to economic (centripetal) -as opposed to (centrifugal) ideological- factors, the relative size of the minority region, the (exogenous) probability that a secession attempt is successful, and the intra-regional heterogeneity of preferences.
    Keywords: Majority voting, secession risk, cultural distinctiveness, conflict, overlapping regional preferences
    JEL: D72 D74
    Date: 2011
  5. By: Abrigo, Michael Ralph M.; Ramaswami, Bharat; Desierto, Desiree A.
    Abstract: Outward migration data from the Philippines exhibit spatial clustering. This is likely due to information spillover effects--fellow migrants share information with other neighboring migrants, thereby lowering the costs of migration. To verify this, we use spatial econometrics to define a geography-based network of migrants and estimate its effect on the growth in the number of succeeding migrants. We find that current and past migration from one municipality induces contemporaneous and future migration in neighboring municipalities.
    Keywords: migration, Philippines, fiduciary system, global imbalances, network effects, spatial econometrics
    Date: 2011
  6. By: David Albouy (University of Michigan); Fernando Leibovici (New York University); Casey Warman (Queen's University)
    Abstract: This paper presents the first hedonic general-equilibrium estimates of quality-of-life and firm productivity differences across Canadian cities, using data on local wages and housing costs. These estimates account for the unobservability of land rents and geographic differences in federal and provincial tax burdens. Quality of life estimates are generally higher in Canada’s larger cities: Victoria, Vancouver are the nicest overall, particularly for Anglophones, while Montreal and Ottawa are the nicest for Francophones. These estimates are positively correlated with estimates in the popular literature and may be explained by differences in climate. Toronto is Canada’s most productive city; Vancouver, the overall most valued city.
    Keywords: quality of life, firm productivity, cost-of-living, firm productivity, compensating wage differentials
    JEL: H24 H5 H77 J61 R1
    Date: 2012–01
  7. By: Mejía Cubillos, Javier
    Abstract: This paper describes the main features of the economy of Antioquia during the second half of the 19th century. It tries to identify if it followed a local economic development model. In addition to a novel reinterpretation of the economic takeoff of Antioquia, based on recent sources collected, the paper represents a major contribution in the theory of local development, since, through a axiomatization process, it is proved that many of the considerations of the local development approach, usually considered acceptable in the context of post-industrial societies, are, indeed, correct in pre-industrial societies also. After conducting this as a conceptual framework and describing the characteristics of Antioquia pattern of economic development, trying to identify elements that could resemble it to an archetypal model of local development, the document concludes with some reflections on the case of study.
    Keywords: Economic growth; local economic development; Antioquia; 19th century
    JEL: N01 O17 N16 O10 N96
    Date: 2011–12–02
  8. By: Tatomir, Cristina F.
    Abstract: The paper studies the structural convergence of the Central and Eastern European countries (CEECs) with the Euro area, in order to determine whether the last decade led an increase or a decrease of the gaps between these two regions. The main findings of the paper indicate that only three CEECs out of ten reached a higher level of structural convergence with the Euro area in the last decade, namely Latvia, Bulgaria and Slovenia. Romania remains by far the country with the highest level of structural divergence. The analysis is based on cluster methodology and the structural divergence index developed by Krugman (2001).
    Keywords: structural convergence; Central and Eastern Europe; Euro area; clusters
    JEL: F15 F41
    Date: 2011–09–22
  9. By: Yelowitz, Aaron; Scott, Frank; Beck, Jason
    Abstract: We examine the market structure for real estate brokerage services across six large metropolitan areas, by collecting more than 300,000 real estate listings and computing the Herfindahl-Hirschman Index (HHI) for each neighborhood. When we divide neighborhoods based on income, house value, and race, we find no evidence of redlining; that is, the market structure for brokerage services is at least as competitive in less advantaged neighborhoods as it is in more advantaged ones.
    Keywords: HHI; real estate brokerage competition; Herfindahl-Hirschman Index; redlining
    JEL: L85
    Date: 2011–12–28
  10. By: Desquilbet, Marion; Monier-Dilhan, Sylvette
    Abstract: The paper provides a theoretical framework to analyze the effects of Protected Designation of Origin labeling on quality choices and welfare. Our model distinguishes two attributes of goods: a search attribute (gustatory quality) and a credence attribute (geographical origin). We compare equilibria with no label, denomination standard and minimum quality standard. We find that the PDO good is not necessarily the high-quality good. When it is, the introduction of denomination standard causes a decrease in quality. Minimum quality standard is warranted to maintain the quality level of the labelable good, but they affect the PDO firm.
    Keywords: Geographical Indications, Vertical Differentiation, Welfare, Quality Certification
    JEL: D21 L15 L51
    Date: 2011–12

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