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(Optimal) spatial aggregation in the determinants of industrial location

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  • Josep-Maria Arauzo-Carod

    ()

  • Miguel Manjón-Antolín

    ()

Abstract

Empirical studies on the determinants of industrial location typically use variables measured at the available administrative level (municipalities, counties etc.). However, this amounts to assuming that the effects that these determinants may have on the location process do not extend beyond the geographical limits of the selected site. We address the validity of this assumption by comparing results from standard count data models with those obtained by calculating the geographical scope of the spatially varying explanatory variables using a wide range of distances and alternative spatial autocorrelation measures. Our results reject the usual practice of using administrative records as covariates without making some kind of spatial correction. Copyright Springer Science+Business Media, LLC. 2012

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Bibliographic Info

Article provided by Springer in its journal Small Business Economics.

Volume (Year): 39 (2012)
Issue (Month): 3 (October)
Pages: 645-658

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Handle: RePEc:kap:sbusec:v:39:y:2012:i:3:p:645-658

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Web page: http://www.springerlink.com/link.asp?id=100338

Related research

Keywords: Industrial location; Count data models; Spatial statistics; C25; C52; R11; R30;

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References

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Citations

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Cited by:
  1. Josep-Maria Arauzo-Carod & Daniel Liviano-Solís, 2012. "Migration Determinants at a Local Level," ERSA conference papers ersa12p500, European Regional Science Association.
  2. 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.
  3. Oscar Martinez Ibañez & Miguel Manjón Antolín & Josep-Maria Arauzo-Carod, 2013. "The Geographical Scope of Industrial Location Determinants: An Alternative Approach," Tijdschrift voor Economische en Sociale Geografie, Royal Dutch Geographical Society KNAG, vol. 104(2), pages 194-214, 04.
  4. 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.

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