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Economic Geography within and between European Nations: The Role of Market Potential and Density across Space and Time

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  • Steven Brakman
  • Harry Garretsen
  • Charles van Marrewijk

Abstract

In explaining the uneven spatial distribution of economic activity, urban economics and new economic geography (NEG) dominate recent research in economics. A main difference between these two approaches is that NEG stresses the role of spatial linkages whereas urban economics does not do so. We estimate simple versions of these two views on economic geography and also establish if the relevance of spatial linkages varies across aggregation levels or time. For our sample of 14 European countries and 213 corresponding regions, we find that spatial linkages are more important at the country level and that its relevance varies across time.

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File URL: http://www.cesifo-group.de/portal/page/portal/DocBase_Content/WP/WP-CESifo_Working_Papers/wp-cesifo-2009/wp-cesifo-2009-05/cesifo1_wp2658.pdf
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Paper provided by CESifo Group Munich in its series CESifo Working Paper Series with number 2658.

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Date of creation: 2009
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Handle: RePEc:ces:ceswps:_2658

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Cited by:
  1. Bernard FINGLETON & Silvia PALOMBI, 2013. "The Wage Curve Reconsidered: Is It Truly An 'Empirical Law Of Economics'?," Region et Developpement, Region et Developpement, LEAD, Universite du Sud - Toulon Var, vol. 38, pages 49-92.
  2. Di Giacinto, Valter & Pagnini, Marcello, 2011. "Local and global agglomeration patterns: Two econometrics-based indicators," Regional Science and Urban Economics, Elsevier, vol. 41(3), pages 266-280, May.
  3. Enrique López-Bazo & Burhan Can Karahasan, 2011. "The Spatial Distribution of Human Capital: Can It Really Be Explained by Regional Differences in Market Access?," ERSA conference papers ersa11p1122, European Regional Science Association.
  4. Andrzej Cieślik & Bartłomiej Rokicki, 2013. "Regional wage determinants in Poland: the empirical verification of the NEG approach," Bank i Kredyt, National Bank of Poland, Economic Institute, vol. 44(2), pages 159-174.
  5. Herrmann-Pillath, Carsten & Libman, Alexander & Yu, Xiaofan, 2014. "Economic integration in China: Politics and culture," Journal of Comparative Economics, Elsevier, vol. 42(2), pages 470-492.
  6. Bernard Fingleton & Simonetta Longhi, 2011. "The effects of agglomeration on wages: evidence from the micro-level," Working Papers 1124, University of Strathclyde Business School, Department of Economics.
  7. Dusan Paredes, 2010. "The Role of Regional Price Index in New Economic Geography Models," Documentos de Trabajo en Economia y Ciencia Regional 07, Universidad Catolica del Norte, Chile, Department of Economics, revised Dec 2010.
  8. Paredes, Dusan & Iturra, Victor, 2012. "Market access and wages: A spatially heterogeneous approach," Economics Letters, Elsevier, vol. 116(3), pages 349-353.
  9. Christ, Julian P., 2010. "Geographic concentration and spatial inequality: Two decades of EPO patenting at the level of European micro regions," Violette Reihe Arbeitspapiere 32/2010, Promotionsschwerpunkt "Globalisierung und Beschaeftigung".
  10. Michael Funke & Marc Gronwald, 2009. "A Convex Hull Approach to Counterfactual Analysis of Trade Openness and Growth," CESifo Working Paper Series 2692, CESifo Group Munich.

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