nep-geo New Economics Papers
on Economic Geography
Issue of 2013‒05‒05
seven papers chosen by
Andreas Koch
Institute for Applied Economic Research

  1. Geography, productivity and trade: does selection explain why some locations are more productive than others? By Antonio Accetturo; Valter Di Giacinto; Giacinto Micucci; Marcello Pagnini
  2. The characteristics and evolution of the Brazilian spatial urban system: empirical evidences for the long-run, 1970-2010 By Sueli Moro; Reginaldo J. Santos
  3. What Does Evolutionary Economic Geography Bring To The Policy Table? Reconceptualising regional innovation systems By Asheim, Bjørn; M. Bugge, Markus; Coenen, Lars; Herstad, Sverre
  4. How does geographical mobility of inventors influence network formation? By Ernest Miguelez
  5. The European Spallation Source (ESS)and the geography of innovation By V. Rekers, Josephine
  6. Dinâmica regional e ordenamento do território brasileiro: desafios e oportunidades By Clélio Campolina Diniz
  7. ¿Es la concentración espacial un problema para el crecimiento en América Latina? By Miguel Atienza; Patricio Aroca

  1. By: Antonio Accetturo (Bank of Italy); Valter Di Giacinto (Bank of Italy); Giacinto Micucci (Bank of Italy); Marcello Pagnini (Bank of Italy)
    Abstract: Two main hypotheses are usually put forward to explain the productivity advantages of larger cities: agglomeration economies and firm selection. Combes et al. (2012) propose an empirical approach to disentangle these two effects and fail to find any impact of selection on local productivity differences. We theoretically show that selection effects do emerge when asymmetric trade and entry costs and different spatial scale at which agglomeration and selection may work are properly taken into account. The empirical findings confirm that agglomeration effects play a major role. However, they also show a substantial increase in the importance of the selection effect when asymmetric trade costs and a different spatial scale are taken into account.
    Keywords: agglomeration economies, firm selection, market size, entry costs, openness to trade
    JEL: C52 R12 D24
    Date: 2013–04
  2. By: Sueli Moro (Cedeplar-UFMG); Reginaldo J. Santos (Cedeplar-UFMG)
    Abstract: In this paper we use spatial analysis and spatial econometrics methods to assess some empirical issues on the size distribution of the Brazilian Urban System. The main novelty is the long historical period of analysis which includes all the demographic censuses from 1940. More specifically, we describe the spatial distribution of the Brazilian cities, as well as its temporal evolution; we test test Zipf’s Law in its original and spatial version, and we use Markov Chains analysis in order to shed some light on the dynamics of the cities within the urban system. We introduce spatial dependence in both Zipf’s law estimation and Markov chain framework in order to capture the influence of the geographical environment on the relative position and mobility of the cities within the urban system. Our estimates for the Pareto coefficient were quite different for OLS and spatial models suggesting the inconsistency of OLS estimates in the non-spatial models. For the full sample of municipalities the Pareto coefficient is much smaller than 1, which features a polarized urban structure. Municipalities with urban population above the average show a less concentrated urban structure and seem to confirm Zipf law. Traditional Markov chain analysis indicates a high stability and low mobility inter-class over time confirming that, with rare exceptions, radical changes in urban population size are uncommon. Results for the Spatial Markov matrix show that municipalities with more populous neighbors are more likely to grow.
    Keywords: Brazilian Urban System, Zipf's Law, Markov Chains, Spatial Econometrics.
    JEL: R11 R12 R15 C21 C23
    Date: 2013–04
  3. By: Asheim, Bjørn (CIRCLE and the Department of Human Geography, Lund University; Nordic Institute for Studies in Innovation, Research and Education (NIFU), Norway); M. Bugge, Markus (Nordic Institute for Studies in Innovation, Research and Education, Norway); Coenen, Lars (CIRCLE, Lund University; Nordic Institute for Studies in Innovation, Research and Education (NIFU), Norway); Herstad, Sverre (NIFU, Oslo Norway)
    Abstract: The article discusses the strategic roles of public policy and institutions and the way this effect to the efficiency of regional innovation systems in the landscape of evolutionary economic geography. It argues that the current emphasis on path dependency historically contingent preconditions has provided important insights into the interdependencies between industrial knowledge bases and routines, regional system dynamics and long-term development paths. Yet, it falls short of capturing the scope of policy intervention which follows logically from the evolutionary framework itself. Anchored in a renewed regional innovation systems approach, the article presents a policy intervention framework for constructing regional advantage in different contexts.
    Keywords: evolutionary economic geography; institutions; regional innovation policy; clusters; regional innovation systems
    JEL: B52 O33 O38
    Date: 2013–02–10
  4. By: Ernest Miguelez (World Intellectual Property Organization, Economics and Statistics Division, Geneva, Switzerland)
    Abstract: The goal of this paper is to assess the influence of spatial mobility of knowledge workers on the formation of ties of scientific and industrial collaboration across European regions. Co-location has been traditionally invoked to ease formal collaboration between individuals and firms, since tie formation costs increase with physical distance between partners. In some instances, highly-skilled actors might become mobile and bridge regional networks across separate locations. This paper estimates a fixed effects logit model to ascertain precisely whether there exists a ‘previous co-location premium’ in the formation of networks across European regions.
    Keywords: inventors’ mobility, technological collaborations, co-location, European regions, panel data
    JEL: C8 J61 O31 O33 R0
    Date: 2013–04
  5. By: V. Rekers, Josephine (CIRCLE, Lund University)
    Abstract: The design and construction of ESS is portrayed as an enormous injection of scientific infrastructure in the (innovation-based) economy of Lund, Skåne and the Øresund region. Innovation processes are however, inherently uncertain, unanticipated and non-linear, where investments do not directly and predictably lead to successful outputs. This chapter presents the theoretical underpinnings of localized knowledge spillovers, and demonstrates that the prospected local benefits associated with ESS are tied to the degree of embeddedness of the facility in regional knowledge networks that facilitate localized learning. This future scenario is challenged by the level of absorptive capacity of university and industry partners in the region, the presence of institutions that support an innovative milieu, and the multiplicity of ambitions set for ESS by the local, multi-national and global bodies. If actors in the regional economy are to take advantage of the opportunity that is associated with the technical design and construction of ESS in Lund, organizational and institutional features of an innovation milieu need to be prioritized.
    Keywords: Large research facilities; big science; agglomeration economies; knowledge spillovers; European Spallation Source (ESS)
    JEL: O31 R11
    Date: 2012–10–02
  6. By: Clélio Campolina Diniz (Cedeplar-UFMG)
    Abstract: The paper assesses the regional dynamics and the reorganization of the Brazilian territory. It departs from the notion that the concept of region surpasses that of a demarcation of a territory and represents natural, social, and economic indicators. From this starting point, the paper considers Brazil’s administrative division and its distinct forms of institutional organization. This effort, coupled with the analysis of regional indicators, leads to the discussion of regional policies, which, in their turn, are inextricable from urban policies.
    Keywords: regional dynamics, territory, regional policy, urban policy, Brazil.
    JEL: R11 R58
    Date: 2013–04
  7. By: Miguel Atienza (IDEAR - ORDHUM - Department of Economics, Universidad Católica del Norte - Chile); Patricio Aroca (IDEAR - Department of Economics, Universidad Católica del Norte - Chile)
    Abstract: As countries develop, the persistency of a high level of spatial concentration may become a source of inefficiency and constrain national growth. . The primacy of the main cities has persisted In Latin America, despite high urbanization rates and significant increases in GDP per capita. This article analyzes whether spatial concentration has become an obstacle for growth in Latin America. For this purpose, we analyze the urbanization process and the evolution of concentration in Latin America during the past five decades and identify which countries could have an excess of concentration. Results show that there is a group of countries, particularly those located in the southern cone, where spatial concentration is not only an equity problem but also an obstacle for national efficiency that should be considered en the design of development strategies.
    Keywords: Spatial concentration, growth, urbanization, development
    JEL: O40 O54 R12
    Date: 2013–03

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