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on Economic Geography |
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Issue of 2018‒05‒14
seven papers chosen by Andreas Koch Institut für Angewandte Wirtschaftsforschung |
| By: | Duranton, Gilles; Venables, Anthony J |
| Abstract: | Many development policies, such as placement of infrastructure or local economic development schemes, are "place-based." Such policies are generally intended to stimulate private sector investment and economic growth in the treated place, and as such they are difficult to appraise and evaluate. This paper sets out a framework for analyzing the effects of such policies and assessing their social value. It then reviews the literature on place-based policies in the contexts of transport improvements, economic corridors, special economic zones, lagging regions, and urban policies. |
| Keywords: | economic corridors; lagging regions; Place based policies; spatial; urban |
| JEL: | O10 O18 R10 R11 R13 |
| Date: | 2018–04 |
| URL: | http://d.repec.org/n?u=RePEc:cpr:ceprdp:12889&r=geo |
| By: | Cai, Zhengyu |
| Abstract: | This paper investigates the causal effects of agglomeration on hours worked by the self-employed. The IV estimations instrument for urbanization and localization using the minimum distance from the work Public Use Microdata Area centroid to the United States’ coastlines and estimated industry share in 1930. The 2SLS results demonstrate that urbanization and localization decrease and increase hours worked of the self-employed, respectively. These results are mainly from outsourcing and competition, whereas sorting, simultaneity, and agglomeration wage effect are less likely to be influential. Additionally, only small business owners perceive the pressures of competition in localization economies. The young unincorporated self-employed are more likely to be affected by peer competitors, whereas the elder unincorporated perceive more pressures from large firms. |
| Keywords: | Self-employed,hours worked,urbanization,localization,competition,coastlines |
| JEL: | J10 J22 J31 R11 R12 |
| Date: | 2018 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:glodps:199&r=geo |
| By: | José Carlos Orihuela (Departamento de Economía de la Pontificia Universidad Católica del Perú); Victor Gamarra Echenique (Departamento de Economía de la Pontificia Universidad Católica del Perú) |
| Abstract: | The economic impacts of resource-based development are distributed unevenly across national space, and not even mining regions experience economic development in the same way. We build on the methodology of Rehner et. al. (2014) to typify resource-based economic development in Peru in the period 2001- 2015 and compare it with the case of mineral-abundant Chile. What we find is a nuanced version of the same dependency-related resource curse phenomenon. With the commodity cycle: (i) export specialization is not the same in all places; (ii) regional growth volatility is much higher in Peru than in Chile; (iii) the Dutch disease does not clearly manifest itself; and therefore (iv) economic dependence within Peru is variegated. At the national level, gold-and-copper-dependent Peru is not as vulnerable as copper-dependent Chile to external shocks. At the subnational level, outside Lima in particular, dependence-related volatility can be very high for clusters of regions. The results of the quantitative analysis are attuned to a theoretical framework of variegated dependence, which, while acknowledging the centrality of the center-and-periphery supranational structure for economic development, attributes variation in resource curse phenomena to subnational differences across space and over time in economic- geography configurations and institutional regimes. JEL Classification-JEL: F43 , O11 , O18 , Q33 , Q34 , Q37 , R58 |
| Keywords: | Dependence, Regional Development, Dutch disease, Export Specialization, Institutions, Resource Curse |
| Date: | 2018 |
| URL: | http://d.repec.org/n?u=RePEc:pcp:pucwps:wp00458&r=geo |
| By: | Quatraro, Francesco; Scandura, Alessandra (University of Turin) |
| Abstract: | This work investigates the generation of green technologies (GTs) in Italian NUTS 3 regions across time, by focusing on the knowledge generation mechanisms underlying the creation of green patents. Firstly, we hypothesize that inventions in non-green technological domains positively influence the generation of GTs, because the latter occur as the outcome of a recombination process among a wide array of technological domains. Secondly, we hypothesise that the involvement of academic inventors in patenting activity bears positive effects on the generation of GTs, because they are able to manage the recombination across different technological domains. Thirdly, we explore the interaction effect between academic inventors’ involvement and non-green technologies to investigate whether the former are especially relevant in presence of higher or lower levels of the latter. We estimate zero-inflated negative binomial, spatial durbin and logistic regressions on a dataset of 103 Italian NUTS 3 regions for which we collected patent and regional data for the time span 1998-2009. The results suggest that both academic inventors and spillovers from polluting technologies bear positive direct effects on the generation of GTs; moreover, we find that academic inventors compensate for low levels of spillovers. |
| Date: | 2018–04 |
| URL: | http://d.repec.org/n?u=RePEc:uto:labeco:201802&r=geo |
| By: | Antonelli, Cristiano; Colombelli, Alessandra (University of Turin) |
| Abstract: | This paper provides an extended CDM approach to analyse jointly the simultaneous effects of knowledge spillovers in the knowledge generation function and in the technology production function. It introduces the distinction between imitation and knowledge externalities and articulates the hypothesis that spillovers yield their effects via three well distinct mechanisms: i) knowledge externalities that exert positive and direct effects on the knowledge production function, and ii) indirect effects on the technology production function via their effects on the cost of knowledge; iii) imitation externalities exert direct and positive effects on productivity in the technology production function. We test our hypotheses on a large panel of Italian companies distributed in the NUTS2 regions for the period 2005 – 2009. The econometric analysis consists in a model comprising a system of equations that test the simultaneous role of spillovers in the knowledge generation function and the technology production function with the inclusion of endogenous knowledge costs. The results confirm that the access to external knowledge – as an input in the knowledge generation function – plays a key role in increasing the knowledge output and – as an input in the technology production function – has positive indirect and direct effects on the productivity of firms. |
| Date: | 2017–06 |
| URL: | http://d.repec.org/n?u=RePEc:uto:labeco:201711&r=geo |
| By: | Badi H. Baltagi; Peter H. Egger; Michaela Kesina |
| Abstract: | Whether a firm is able to attract foreign capital and whether it may participate at the export market depends on whether the fixed costs associated with doing so are at least covered by the incremental operating profits. This paper provides evidence that success for some firms in attracting foreign investors and in exporting appears to reduce the associated fixed costs with exporting or foreign ownership in other firms. Using data on 8,959 firms located in Shanghai, we find that contagion and spillovers in exporting and in foreign ownership decisions within an area of 10 miles in the city of Shanghai amplify fixed-cost reductions for both exporting as well as foreign ownership of neighboring firms. Contagion among exporters and among foreign-owned firms, respectively, amplify shocks to the profitability of these activities to a large extent. These findings are established through the estimation of a spatial bivariate probit model. |
| Keywords: | firm-level exports, firm-level foreign ownership, contagion, spatial econometrics, Chinese firms |
| JEL: | C11 C31 C35 F14 F23 L22 R10 |
| Date: | 2018 |
| URL: | http://d.repec.org/n?u=RePEc:ces:ceswps:_6993&r=geo |
| By: | François Deltour (LEMNA - Laboratoire d'économie et de management de Nantes Atlantique - UN - Université de Nantes, SSG - Sciences sociales et de gestion - IMT Atlantique - IMT Atlantique Bretagne-Pays de la Loire); Sébastien Le Gall (LEGO - Laboratoire d'Economie et de Gestion de l'Ouest - UBS - Université de Bretagne Sud - UBO - Université de Brest - Institut Mines-Télécom [Paris] - UBL - Université Bretagne Loire - IMT Atlantique - IMT Atlantique Bretagne-Pays de la Loire, MARSOUIN - Môle Armoricain de Recherche sur la SOciété de l'information et des usages d'INternet - UR1 - Université de Rennes 1 - UBS - Université de Bretagne Sud - UBO - Université de Brest - Ecole Nationale de la Statistique et de Analyse de l'Information - Rennes - Institut Mines-Télécom [Paris] - UR2 - Université de Rennes 2 - UNIV-RENNES - Université de Rennes - UBL - Université Bretagne Loire - IMT Atlantique - IMT Atlantique Bretagne-Pays de la Loire); Virginie Lethiais (LEGO - Laboratoire d'Economie et de Gestion de l'Ouest - UBS - Université de Bretagne Sud - UBO - Université de Brest - Institut Mines-Télécom [Paris] - UBL - Université Bretagne Loire - IMT Atlantique - IMT Atlantique Bretagne-Pays de la Loire, MARSOUIN - Môle Armoricain de Recherche sur la SOciété de l'information et des usages d'INternet - UR1 - Université de Rennes 1 - UBS - Université de Bretagne Sud - UBO - Université de Brest - Ecole Nationale de la Statistique et de Analyse de l'Information - Rennes - Institut Mines-Télécom [Paris] - UR2 - Université de Rennes 2 - UNIV-RENNES - Université de Rennes - UBL - Université Bretagne Loire - IMT Atlantique - IMT Atlantique Bretagne-Pays de la Loire) |
| Abstract: | This article discusses the role played by location of small and medium-sized firms on their propensity to innovate. The research adopts a broad definition of innovation and sets the hypothesis that SMEs' propensity to innovate is not higher in large urban areas than in rural ones. Moreover, reducing SMEs' location to their head office tends to overestimate urban areas' innovativeness. Following the administration of an original regional survey, econometric tests are run on a representative sample of 1,253 SMEs in the French Brittany region, completed by location data proposed by the French National Institute of Statistics (Insee). The results confirm that firms located in the largest urban areas of the region are not more innovative that those located in the most isolated areas. They also partially validate the hypothesis that measuring the firms' location using the location of the head offices leads to overestimate the innovativeness of largest urban areas compared to less urbanized one. |
| Keywords: | Innovation,Localisation,Petites et moyennes entreprises |
| Date: | 2017–12 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:hal-01758281&r=geo |