nep-geo New Economics Papers
on Economic Geography
Issue of 2017‒09‒10
ten papers chosen by
Andreas Koch
Institut für Angewandte Wirtschaftsforschung

  1. Accessibility, absorptive capacity and innovation in European urban areas By Clément Gorin
  2. Global cities, connectivity, and the location choice of MNC regional headquarters By Rene Belderbos; Helen S. Du; Anthony Goerzen
  3. A Long-Run Perspective on the Spatial Concentration of Manufacturing Industries in the United States By Crafts, Nicholas; Klein, Alex
  4. City Size, Distance and Formal Employment Creation By O´Clery, Neave; Lora, Eduardo
  5. A review of spatial econometric models for count data By Glaser, Stephanie
  6. Large Spatial Competition By Matias Nunez; Marco Scarsini
  7. Measuring the Cost of Congestion in Highly Congested City: Bogotá By Akbar, Prottoy; Duranton, Gilles
  8. What is the Role of Urban Growth on Inequality, and Segregation? The Case of Urban Argentina´s Urban Agglomerations By Goytia, Cynthia; Dorna, Guadalupe
  9. Income Segregation and Urban Spatial Structure: Evidence from Brazil By García-López, Miguel Ángel; Moreno-Monroy, Ana I.
  10. Réformes territoriales et cohérence des systèmes régionaux d'enseignement supérieur : une approche par les mobilités de formation et d'insertion By Bastien Bernela; Liliane Bonnal

  1. By: Clément Gorin (Univ Lyon, UJM Saint-Etenne, GATE L-SE UMR 5824, F-42023 Saint- Etienne, France)
    Abstract: Empirical studies on the geography of innovation have established that skilled workers’ mobility and collaboration networks shape the diffusion of knowledge across firms and regions. At the same time, the literature on absorptive capacity insisted on the importance of local research capabilities to take advantage of knowledge developed elsewhere. This paper inves- tigates both phenomena in an integrated framework by assuming that mobility and networks provide access to knowledge, but the proportion of accessible knowledge effectively used for innovation depends on absorptive capacity. Such complementaries in regional research efforts are effectively captured using a spatial Durbin model in which the connectivity structure stems from mobility and collaboration patterns. Results confirm the relative importance of these two channels in the diffusion of knowledge, and suggests that human capital increases absorptive capacity. These findings have implications for the geography of innovation. While greater accessibility encourages convergence, the notion of absorptive capacity implies a self-reinforcing effect leading to divergence.
    Keywords: Innovation, Mobility, Network, Absorptive capacity, Spatial Durbin model, Urban areas
    JEL: C33 J61 O31 O33
    Date: 2017
  2. By: Rene Belderbos; Helen S. Du; Anthony Goerzen
    Abstract: One of the manifestations of the increasing diversity in multinational corporation (MNC) operations is the growing importance of regional headquarters (RHQs). RHQs assume an intermediary, bridging role between the corporate headquarters and local affiliates and other actors in their respective regions. They can have a coordination and control (i.e., administrative) mandate as well as an opportunity seeking (i.e., entrepreneurial) mandate. Since these mandates require RHQs to interact with various internal and external entities and exchange knowledge across distant locations, MNCs tend to locate their RHQs in highly connected “global cities” because these places allow the firm to economize on spatial transaction costs. In this paper, we explore the interplay between geographic distance, RHQ roles, and connectivity by analyzing which global city is selected by an MNC when establishing an RHQ. We argue that there is substantial heterogeneity among MNCs in the importance they attach to city connectivity—which we conceptualize as encompassing the effects of the international flows of people, knowledge, and services—because the connectivity needs of an RHQ varies in relation to its corporate mandate as well as to the geographic configuration of the MNC’s activities. Our mixed logit analysis of the location choices for 1,031 newly established RHQs in 48 global cities between 2003 and 2012 provides qualified support for the notion that the relationship between city connectivity and location choice is more pronounced for RHQs with an entrepreneurial role. Although the geographic distance of a city to the MNC’s regional affiliates discourages the establishment of RHQs with administrative roles, distance effects disappear when the city is highly connected. Moreover, well connected cities are able to attract MNCs’ RHQs from distant countries-of-origin.
    Keywords: connectivity, geographic distance, global cities, location choice, regional headquarters
    Date: 2017–07
  3. By: Crafts, Nicholas; Klein, Alex
    Abstract: We construct spatially-weighted indices of the geographic concentration of U.S. manufacturing industries during the period 1880 to 1997 using data from the Census of Manufactures and the Bureau of Labor Statistics. Several important new results emerge from this exercise. First, we find that average spatial concentration was much lower in the late-20th- than the late-19th century and that this was the outcome of a continuing reduction over time. Second, the persistent tendency to greater spatial dispersion was characteristic of most manufacturing industries. Third, even so, economically and statistically significant spatial concentration was pervasive throughout this period.
    Keywords: manufacturing belt; spatial concentration; transport costs
    JEL: N62 N92 R12
    Date: 2017–08
  4. By: O´Clery, Neave; Lora, Eduardo
    Abstract: Cities thrive through the diversity of their occupants because the availability of complementary skills enables firms in the formal sector to grow, delivering increasingly sophisticated products and services. The appearance of new industries is path dependent in that new economic activities build on existing strengths, leading cities to both diversify and specialize in distinct areas. Hence, the location of necessary capabilities, and in particular the distance between firms and people with the skills they need, is key to the success of urban agglomerations. Using data for Colombia, this paper assesses the extent to which cities benefit from skills and capabilities available in their surrounding catchment areas. Without assuming a priori a definition for cities, we sequentially agglomerate the 96 urban municipalities larger than 50,000 people based on commuting time. We show that a level of agglomeration equivalent to between 45 and 75 minutes of commuting time, corresponding to between 62 and 43 cities, maximizes the impact that the availability of skills has on the ability of agglomerations to generate formal employment. Smaller urban municipalities stand to gain more in the process of agglomeration. A range of policy implications are discussed.
    Keywords: Ciudades, Educación, Investigación socioeconómica, Sector privado, Trabajo y protección social,
    Date: 2016
  5. By: Glaser, Stephanie
    Abstract: Despite the increasing availability of spatial count data in research areas like technology spillovers, patenting activities, insurance payments, and crime forecasting, specialized models for analysing such data have received little attention in econometric literature so far. The few existing approaches can be broadly classified into observation-driven models, where the random spatial effects enter the moments of the dependent variable directly, and parameterdriven models, where the random spatial effects are unobservable and induced via a latent process. Moreover, within these groups the modelling approaches (and therefore the interpretation) of spatial effects are quite heterogeneous, stemming in part from the nonlinear structure of count data models. The purpose of this survey is to compare and contrast the various approaches for econometric modelling of spatial counts discussed in the literature.
    Date: 2017
  6. By: Matias Nunez (LAMSADE - Laboratoire d'analyse et modélisation de systèmes pour l'aide à la décision - Université Paris-Dauphine - CNRS - Centre National de la Recherche Scientifique); Marco Scarsini (Dipartimento di Economia e Finanza - LUISS - Libera Università Internazionale degli Studi Sociali Guido Carli [Roma])
    Abstract: We consider spatial competition when consumers are arbitrarily distributed on a compact metric space. Retailers can choose one of finitely many locations in this space. We focus on symmetric mixed equilibria which exist for any number of retailers. We prove that the distribution of retailers tends to agree with the distribution of the consumers when the number of competitors is large enough. The results are shown to be robust to the introduction of (i) randomness in the number of retailers and (ii) different ability of the retailers to attract consumers.
    Keywords: Location,Equilibrium,Hotelling games,Large games,Poisson games,Valence
    Date: 2017
  7. By: Akbar, Prottoy; Duranton, Gilles
    Abstract: We provide a novel approach to estimate the deadweight loss of congestion. We implement it for road travel in the city of Bogotá using information from a travel survey and counterfactual travel data generated from Google Maps. For the supply of travel, we find that the elasticity of the time cost of travel per unit of distance with respect to the number of travelers is on average about 0.06. It is close to zero at low levels of traffic, then reaches a maximum magnitude of about 0.20 as traffic builds up and becomes small again at high levels of traffic. This finding is in sharp contrast with extant results for specific road segments. We explain it by the existence of local streets which remain relatively uncongested and put a floor on the time cost of travel. On the demand side, we estimate an elasticity of the number of travelers with respect to the time cost of travel of 0.40. Although road travel is costly in Bogotá, these findings imply a small daily deadweight loss from congestion, equal to less than 1% of a day’s wage.
    Keywords: Ciudades, Investigación socioeconómica, Transporte,
    Date: 2017
  8. By: Goytia, Cynthia; Dorna, Guadalupe
    Abstract: We analyze the relationship between urban sprawl and changing patterns of inequality and segregation in metropolitan areas of Argentina. The existing literature has endeavored to study the determinants of the expansion of cities, but less attention has been placed in understanding the effects of this sprawl on the livelihood of the people that live in them. Understanding whether different patterns of urban extension determine both segregation and inequality is extremely relevant in the context of fast growing urban agglomerates of Latin American countries. Among other findings, we provide evidence that there is segregation of the poor and not of the rich in all urban agglomerates but in Greater Buenos Aires, where segregation of the affluent, not the poor, prevails in the areas of greater informal urban expansion, measured by the extension of informal settlements. Yet, not all the patterns of urban development and built-up growth have the same effect. More leapfrog appears to explain greater segregation -particularly of the poor- while both infill and extension are positively related to more homogeneous urban agglomerations. This means that the most disadvantaged are more evenly distributed in agglomerations that have not seen much of their sprawl due to discontinue urban expansion of their borders. Finally, we also find a positive association between more unequal municipalities and greater slum expansions. The causality of this relationship is unclear and further analysis could be promising. It might be the case that more unequal municipalities allow for institutional environments in which slums can grow faster. Or it might well be that places which have experienced more accelerated slum growth have become more unequal because of the arrival of new families that accentuates such disparities.
    Keywords: Ciudades, Desarrollo social, Desarrollo urbano, Economía, Equidad e inclusión social, Investigación socioeconómica, Pobreza,
    Date: 2016
  9. By: García-López, Miguel Ángel; Moreno-Monroy, Ana I.
    Abstract: We estimate the effect of urban spatial structure on income segregation in Brazilian cities between 2000 and 2010. Our results show that, first, local density conditions increase income segregation: the effect is higher in monocentric cities and smaller in polycentric ones. Second, the degree of monocentricity-polycentricity also affects segregation: while a higher concentration of jobs in and around the CBD decreases segregation in monocentric cities, a higher employment concentration in and around subcenters located far from the CBD decreases segregation in polycentric cities. Third, results are heterogeneous according to city size: local density does not increase segregation in small (monocentric) cities, it increases segregation in medium size cities, and it decreases segregation in large (polycentric) cities. Finally, results also differ between income groups: while local density conditions increase the segregation of the poor, a more polycentric configuration reduces the segregation of the rich.
    Keywords: Ciudades, Desarrollo urbano, Investigación socioeconómica,
    Date: 2016
  10. By: Bastien Bernela (CRIEF - Centre de Recherche sur l'Intégration Economique et Financière - Université de Poitiers); Liliane Bonnal (CRIEF - Centre de Recherche sur l'Intégration Economique et Financière - Université de Poitiers)
    Abstract: La mobilité géographique des étudiants et des diplômés est devenue un enjeu régional majeur si l'on en croit le développement des politiques d'attractivité territoriale. Dans un contexte de réforme territoriale et de modification des frontières régionales et universitaires, la carte des mobilités permet de repérer les systèmes régionaux d'enseignement supérieur. A partir des enquêtes génération du CEREQ, nous étudions la géographie de l'accès aux études supérieures et à l'emploi d'une population représentative des sortants du système éducatif français de quatre générations (1998, 2001, 2004, 2007). Nous montrons que la mobilité entre région d'origine, région de formation et région d'emploi est relativement faible, et marquée par des phénomènes de retour et par des effets de proximité spatiale. L'analyse de la position de la région Poitou-Charentes dans le système national de mobilité étudiante montre qu'elle occupe un rôle de « carrefour » dans le Grand Ouest, et révèle un tiraillement géographique de cette région entre ses partenaires universitaires du Nord et sa capitale régionale du Sud.
    Keywords: Enseignement supérieur,Insertion professionnelle,Mobilité géographique,Réforme territoriale,Systèmes régionaux
    Date: 2017–04–11

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