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The District and the Global Economy: Exportation Versus Foreign Location

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Author Info
Giorgio Basevi
Gianmarco I.P. Ottaviano

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Abstract

We depict an industrial district as a center of innovation where positive local spillovers sustain the endogenous invention of new goods by profit-seeking firms. After invention, firms face a crucial choice between reaching distant markets by export or plant delocation. Attempts by firms to circumvent trade barriers through delocation slow down the pace of innovation and harm the welfare of the district. Copyright 2002 Blackwell Publishers Inc.

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File URL: http://www.blackwell-synergy.com/doi/abs/10.1111/1467-9787.00252
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Publisher Info
Article provided by Blackwell Publishing in its journal Journal of Regional Science.

Volume (Year): 42 (2002)
Issue (Month): 1 ()
Pages: 107-126
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Handle: RePEc:bla:jregsc:v:42:y:2002:i:1:p:107-126

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  1. Alessandra Cassar & Rosella Nicolini, 2003. "Spillovers and growth in a local interaction model," UFAE and IAE Working Papers 574.03, Unitat de Fonaments de l'Anàlisi Econòmica (UAB) and Institut d'Anàlisi Econòmica (CSIC). [Downloadable!]
  2. Stefano Federico & Gaetano Alfredo Minerva, 2008. "Outward FDI and Local Employment Growth in Italy," Review of World Economics (Weltwirtschaftliches Archiv), Springer, vol. 144(2), pages 295-324, July. [Downloadable!] (restricted)
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  3. Gries, Thomas & Naude, Wim & Matthee, Marianne, 2008. "The Optimal Distance to Port for Exporting Firms," Working Papers RP2008/32, World Institute for Development Economic Research (UNU-WIDER). [Downloadable!]
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  4. Filippo Vergara Caffarelli, 2004. "Merge And Compete: Strategic Incentives To Vertical Integration," Working Papers 65, Sapienza University of Rome, Department of Public Economics. [Downloadable!]
    Other versions:
  5. Binz, Hanna L. & Czarnitzki, Dirk, 2008. "Are Local Milieus the Key to Innovation Performance?," ZEW Discussion Papers 08-008 [rev.], ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research. [Downloadable!]
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