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Externalities and Local Economic Growth in Manufacturing Industries

In: European Regional Growth

Author

Listed:
  • Stefano Usai

    (University of Sassari)

  • Raffaele Paci

    (University of Cagliari)

Abstract

The recent revival of interest in issues relating to economic geography has put new vigour into research efforts intending to explain economic phenomena without neglecting space. Such a revival has two main causes as pointed out by Fujita, Krugman and Venables (1999): on the one hand the real-world concerns arising with the ongoing processes of regional integration, especially in Europe; on the other hand, from the theoretical point of view, the availability of the analytical tools necessary to deal with increasing returns bounded in space which characterise agglomeration forces.

Suggested Citation

  • Stefano Usai & Raffaele Paci, 2003. "Externalities and Local Economic Growth in Manufacturing Industries," Advances in Spatial Science, in: Bernard Fingleton (ed.), European Regional Growth, chapter 10, pages 293-321, Springer.
  • Handle: RePEc:spr:adspcp:978-3-662-07136-6_11
    DOI: 10.1007/978-3-662-07136-6_11
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    Cited by:

    1. Combes, Pierre-Philippe & Overman, Henry G., 2004. "The spatial distribution of economic activities in the European Union," Handbook of Regional and Urban Economics, in: J. V. Henderson & J. F. Thisse (ed.), Handbook of Regional and Urban Economics, edition 1, volume 4, chapter 64, pages 2845-2909, Elsevier.
    2. Augusta Pelinski Raiher, 2020. "Economies of agglomeration and their relation with industrial productivity in Brazilian municipalities," Papers in Regional Science, Wiley Blackwell, vol. 99(3), pages 725-747, June.
    3. Beaudry, Catherine & Schiffauerova, Andrea, 2009. "Who's right, Marshall or Jacobs? The localization versus urbanization debate," Research Policy, Elsevier, vol. 38(2), pages 318-337, March.
    4. S. Deidda & R. Paci & S. Usai, 2002. "Spatial Externalities and Local Economic Growth," Working Paper CRENoS 200206, Centre for North South Economic Research, University of Cagliari and Sassari, Sardinia.
    5. Massimiliano Agovino & Agnese Rapposelli, 2015. "Agglomeration externalities and technical efficiency in Italian regions," Quality & Quantity: International Journal of Methodology, Springer, vol. 49(5), pages 1803-1822, September.
    6. Svante Mandell & Mats Wilhelmsson, 2015. "Financial infrastructure and house prices," Applied Economics, Taylor & Francis Journals, vol. 47(30), pages 3175-3188, June.
    7. Illy, Annette & Hornych, Christoph & Schwartz, Michael & Rosenfeld, Martin T. W., 2009. "Urban Growth in Germany – The Impact of Localization and Urbanization Economies," IWH Discussion Papers 19/2009, Halle Institute for Economic Research (IWH).
    8. Zouaghi, Ferdaous & Hirsch, Stefan & Garcia, Mercedes Sanchez, 2016. "What Drives Firm Profitability? A Multilevel Approach To The Spanish Agri-Food Sector," 56th Annual Conference, Bonn, Germany, September 28-30, 2016 244762, German Association of Agricultural Economists (GEWISOLA).
    9. Roberto Antonietti & Giulio Cainelli, 2011. "The role of spatial agglomeration in a structural model of innovation, productivity and export: a firm-level analysis," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 46(3), pages 577-600, June.
    10. Ron Boschma & Simona Iammarino, 2008. "Related variety, trade variety and regional growth in Italy," Papers in Evolutionary Economic Geography (PEEG) 0802, Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography, revised Jan 2008.
    11. Maria Dav? & Isidora Barbaccia, 2015. "Measuring agglomeration by spatial effects: a proposal," RIVISTA DI ECONOMIA E STATISTICA DEL TERRITORIO, FrancoAngeli Editore, vol. 2015(1), pages 44-70.
    12. R. Paci & S. Usai, 2006. "Agglomeration economies and growth-The case of Italian local labour systems, 1991-2001," Working Paper CRENoS 200612, Centre for North South Economic Research, University of Cagliari and Sassari, Sardinia.
    13. Khaled Thabet, 2015. "Industrial structure and total factor productivity: the Tunisian manufacturing sector between 1998 and 2004," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 54(2), pages 639-662, March.
    14. Noor Fauziah Isnaeni & Khoirunurrofik Khoirunurrofik, 2021. "The effect of knowledge spillovers and human capital through technological intensity on employment growth in Indonesia," Asia-Pacific Journal of Regional Science, Springer, vol. 5(1), pages 21-39, February.
    15. Florin Teodor Boldeanu & Ileana Tache, 2016. "A Regional Approach To The Metropolitan Economic Grwoth: Evidence From The European Union," Journal of Smart Economic Growth, , vol. 1(1), pages 29-72, August.
    16. Zhuqing Yang & Yuanyuan Zhu & Yulin Zhang, 2022. "Does urban shrinkage lower labor productivity? The role of spatial expansion," Regional Science Policy & Practice, Wiley Blackwell, vol. 14(S2), pages 106-117, November.
    17. Wallin, Tina, 2017. "An empirical study of firms’ absorptive capacity and export diversification," Working Paper Series in Economics and Institutions of Innovation 452, Royal Institute of Technology, CESIS - Centre of Excellence for Science and Innovation Studies.

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    More about this item

    Keywords

    Labour Market Condition; Local Growth; Public Capital; Industrial District; Feasible Generalise Little Square;
    All these keywords.

    JEL classification:

    • L60 - Industrial Organization - - Industry Studies: Manufacturing - - - General
    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)
    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes
    • O52 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Europe

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