Spatial Impacts of Agglomeration Externalities*

Soest, Daan van; Gerking, Shelby D.; Oort, Frank van

doi:10.1111/j.1467-9787.2006.00488.x

Cited by 97 publications

(86 citation statements)

References 22 publications

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“…In principle, it might also be the case that corporations (and in consequence their host communities) benefit from firm and industry agglomerations in neighboring municipalities. However, as previous findings in the literature suggest that urbanization (like localization) economies have an extremely limited geographical scope of a few kilometers at most (see Rosenthal and Strange (2004), Viladecans-Marsal (2004), van Soest andvan Oort (2006), and Jofre-Monseny (2009)), we consider the former effect to prevail. Nevertheless, to test the sensitivity of our results, we also recalculated the index dismissing very close neighboring communities from the index construction which derives comparable results to the ones reported in Section 5.…”

Section: Urbanization Measuresmentioning

confidence: 99%

Do governments tax agglomeration rents?

Koh¹,

Riedel

2013

Journal of Urban Economics

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Using the German local business tax as a testing ground, we empirically investigate the impact of firm agglomeration on municipal tax setting behavior. The analysis exploits a rich data source on the population of German firms to construct detailed measures for the communities' agglomeration characteristics. The findings indicate that urbanization and localization economies exert a positive impact on the jurisdictional tax rate choice which confirms predictions of the theoretical New Economic Geography (NEG) literature. Further analysis suggests a qualification of the NEG argument by showing that a municipality's potential to tax agglomeration rents depends on its firm and industry agglomeration relative to neighboring communities. To account for potential endogeneity problems, our analysis exploits long-lagged population and infrastructure variables as instruments for the agglomeration measures.JEL Codes: H73, R12

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Section: Urbanization Measuresmentioning

confidence: 99%

Do governments tax agglomeration rents?

Koh¹,

Riedel

2013

Journal of Urban Economics

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“…These firms share common inputs for production and similar technologies in the production process (Chinitz, 1961;Enright, 1994;Malmberg, 1997). Both approaches lead to the hypothesis of expected higher productivity in cities, especially in small conglomerated areas such as SPs and campuses (van Soest et al, 2006).…”

Section: Knowledge Agglomeration and Hightech Smes Locationsmentioning

confidence: 99%

Science Parks and the Co-location of High-tech Small- and Medium-sized Firms in China’s Shenzhen

Cheng¹,

Oort

Geertman

et al. 2013

Urban Studies

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Science parks (SPs) have received special attention as a policy tool to facilitate localised economic growth by attracting high-tech firms, especially small-and mediumsized enterprises (SMEs). The effectiveness of this strategy has been called into question. Empirical studies suggest that the benefits of SPs for high-tech firms are limited. While this debate is mainly concentrated in the US and Europe, this paper sheds light on the role of SPs in China. It is found that, despite the presence of alternatives, the locations of high-tech SMEs in the region of Shenzhen are determined by hierarchically structured and governed SPs. This finding supports the notion that SPs can play a positive role in attracting high-tech SMEs. Moreover, these effects occur in the relatively unexplored Chinese context of increasingly liberalised but governed market circumstances, where a mature innovation system is still lacking.

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“…The last of these papers specifically analyses the influence of agglomeration economies at this geographical scale. More recently, and since more disaggregated data have become available, other papers have been published with the same objective but performing the empirical application in metropolitan areas in other countries (BAUDEWYNS (1999) in Belgium, WU (1999) in China, MAOH et al (2005) in Canada and CHAKRAVORTY et al (2005) in India or VAN SOEST et al (2006) in Holland, for example). These papers, however, analyse the location of firms inside a single metropolitan area.…”

Section: Agglomeration Economies and The Intra-metropolitan Location mentioning

confidence: 99%

Industrial Location at the Intra-Metropolitan Level: The Role of Agglomeration Economies

Arauzo‐Carod

Viladecans‐Marsal²

2009

Regional Studies

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ABSTRACT:The objective of this paper is to analyse the influence of agglomeration economies on location decisions taken by new firms inside metropolitan areas. As we assume that these economies differ according to firms' level of technology, our sample comprises new firms from high, intermediate and low technology industries. We are particularly interested in analysing the effects of agglomeration economies that are felt over very short distances (inside the metropolitan areas. We introduce in our estimation the effect of the central city as a determinant for the location of new firms in the rest of the metropolitan area.Keywords: Industrial location, cities, metropolitan areas, agglomeration economies. JEL codes: L60, R12, R30. RESUMEN:El objetivo del trabajo es analizar la influencia de las economías de aglomeración en las decisiones de localización de las nuevas empresas dentro de las áreas metropolitanas. Dado que se asume que estas economías difieren en función del nivel tecnológico de cada empresa, se clasifican las nuevas empresas en tecnología avanzada, intermedia y tradicional. El interés se centra particularmente en analizar los efectos de las economías de aglomeración que tienen lugar en distancias muy cortas (dentro de las áreas metropolitanas). En la estimación se introduce el efecto de la ciudad central del área metropolitana como determinante de la localización de las nuevas empresas en el resto del área metropolitana.

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Spatial Impacts of Agglomeration Externalities*

Cited by 97 publications

References 22 publications

Do governments tax agglomeration rents?

Do governments tax agglomeration rents?

Science Parks and the Co-location of High-tech Small- and Medium-sized Firms in China’s Shenzhen

Industrial Location at the Intra-Metropolitan Level: The Role of Agglomeration Economies

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