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The Evolution Of Industrial Clusters — Simulating Spatial Dynamics

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  • THOMAS BRENNER

    ()
    (Max-Planck-Institute for Research into Economic Systems, Evolutionary Economics Unit, Kahlaische Str. 10, 07745 Jena, Germany)

  • NIELS WEIGELT

    (Max-Planck-Institute for Research into Economic Systems, Evolutionary Economics Unit, Kahlaische Str. 10, 07745 Jena, Germany)

Abstract

Industrial clusters have received much attention in economic research in the last decade. They are seen as one of the reasons for the economic success of certain regions in comparison to others. This paper studies the evolution of such industrial clusters. To this end, a spatial structure of regions is set up and the entry, exit, and growth of firms within these regions is modelled and studied with the help of simulations. We are able to obtain some knowledge about the basic characteristics of this dynamic process and about the spatial relation between industries that results. It is shown that it matters whether one or the other industry appears first and that location of clusters of one industry influence the location of other industries. Furthermore, some necessary conditions for the evolution of industrial clusters are identified.

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Bibliographic Info

Article provided by World Scientific Publishing Co. Pte. Ltd. in its journal Advances in Complex Systems.

Volume (Year): 04 (2001)
Issue (Month): 01 ()
Pages: 127-147

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Handle: RePEc:wsi:acsxxx:v:04:y:2001:i:01:p:127-147

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Keywords: Evolution; industrial clusters; technological spillovers; simulations; spatial agglomeration;

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  1. Jonard, N. & Yfldizoglu, M., 1998. "Technological diversity in an evolutionary industry model with localized learning and network externalities," Structural Change and Economic Dynamics, Elsevier, vol. 9(1), pages 35-53, March.
  2. Cani�ls; M.C.J. & Verspagen; B., 1999. "Spatial distance in a technology gap model," Eindhoven Center for Innovation Studies (ECIS) working paper series 99.10, Eindhoven Center for Innovation Studies (ECIS).
  3. Ellison, Glenn & Glaeser, Edward L, 1997. "Geographic Concentration in U.S. Manufacturing Industries: A Dartboard Approach," Journal of Political Economy, University of Chicago Press, vol. 105(5), pages 889-927, October.
  4. Jaffe, A.B. & Trajtenberg, M., 1992. "Geographic Localization of Knowledge Spillovers as Evidenced by Patent Citations," Papers 14-92, Tel Aviv.
  5. Kiminori Matsuyama & Takaaki Takahashi, 1993. "Self-Defeating Regional Concentration," Discussion Papers 1086, Northwestern University, Center for Mathematical Studies in Economics and Management Science.
  6. Audretsch, David B, 1998. "Agglomeration and the Location of Innovative Activity," Oxford Review of Economic Policy, Oxford University Press, vol. 14(2), pages 18-29, Summer.
  7. Witt, Ulrich, 1986. "Firms' market behavior under imperfect information and economic natural selection," Journal of Economic Behavior & Organization, Elsevier, vol. 7(3), pages 265-290, September.
  8. Paul Krugman, 1990. "Increasing Returns and Economic Geography," NBER Working Papers 3275, National Bureau of Economic Research, Inc.
  9. Bent Dalum, 1995. "Local and global linkages the radiocommunications cluster in Northern Denmark," Industry and Innovation, Taylor & Francis Journals, vol. 2(2), pages 89-109.
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Cited by:
  1. Guido Fioretti, 2005. "Agent-Based Models of Industrial Clusters and Districts," Urban/Regional 0504009, EconWPA.

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