Local Industry Agglomeration and New Business Activity
AbstractNew businesses are highly involved in innovative activity, which enhances worker productivity and leads to increased economic output. This paper investigates the effects of industry concentration on the incidence of new business openings in the 5,504 Maine county-industries. Empirical findings indicate that new business activity increases with the number of incumbent establishments in a county-industry and its concentration level relative to the U.S. economy. Model simulations show that raising county-industries, with no initial industry presence, to concentration levels similar to that of the industry in the U.S. economy results in a 1.7 to 8.9 percent increase in the expected number of business openings over a three-year period. Empirical results also suggest that industry clusters comprised of young and small establishments are more conducive to new business formation than clusters made up of mature and large companies. Copyright 2003 Gatton College of Business and Economics, University of Kentucky..
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Bibliographic InfoArticle provided by Gatton College of Business and Economics, University of Kentucky in its journal Growth and Change.
Volume (Year): 34 (2003)
Issue (Month): 1 ()
Contact details of provider:
Web page: http://www.blackwellpublishing.com/journal.asp?ref=0017-4815
You can help add them by filling out this form.
CitEc Project, subscribe to its RSS feed for this item.
- Arauzo Carod, Josep Maria & Liviano Solís, Daniel & Manjón Antolín, Miguel C., 2008.
"Empirical studies in industrial location: an assessment of their methods and results,"
2072/9257, Universitat Rovira i Virgili, Department of Economics.
- Josep-Maria Arauzo-Carod & Daniel Liviano-Solis & Miguel Manjón-Antolín, 2010. "Empirical Studies In Industrial Location: An Assessment Of Their Methods And Results," Journal of Regional Science, Wiley Blackwell, vol. 50(3), pages 685-711.
- Joshua Drucker, 2009. "Trends in Regional Industrial Concentration in the United States," Working Papers 09-06, Center for Economic Studies, U.S. Census Bureau.
- Josep-Maria Arauzo-Carod, 2013.
"Location Determinants of New Firms: Does Skill Level of Human Capital Really Matter?,"
Growth and Change,
Gatton College of Business and Economics, University of Kentucky, vol. 44(1), pages 118-148, 03.
- Arauzo Carod, Josep Maria, 2011. "Location Determinants of New Firms: Does Skill Level of Human Capital Really Matter?," Working Papers 2072/152136, Universitat Rovira i Virgili, Department of Economics.
- Todd M. Gabe, 2005.
"Industry Agglomeration and Investment in Rural Businesses,"
Review of Agricultural Economics,
Agricultural and Applied Economics Association, vol. 27(1), pages 89-103.
- Gabe, Todd M., 2004. "Industry Agglomeration And Investment In Rural Businesses," 2004 Annual meeting, August 1-4, Denver, CO 19930, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
- Daniel Liviano & Josep-Maria Arauzo-Carod, 2013. "Industrial location and interpretation of zero counts," The Annals of Regional Science, Springer, vol. 50(2), pages 515-534, April.
- Liviano Solís, Daniel & Arauzo Carod, Josep Maria, 2011. "Industrial Location and Space: New Insights," Working Papers 2072/152137, Universitat Rovira i Virgili, Department of Economics.
- Arauzo Carod, Josep Maria, 2007. "Industrial location at a local level: some comments about the territorial level of the analysis," Working Papers 2072/4178, Universitat Rovira i Virgili, Department of Economics.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Wiley-Blackwell Digital Licensing) or (Christopher F. Baum).
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.