Agglomeration Economies and Clustering – Evidence from German Firms
AbstractThe paper quantifies the impact of agglomeration economies on the clustering of German firms. Therefore, I use the 2006 Innobarometer survey, which focuses on cluster characteristics and activities of German firms, to empirically identify agglomeration economies derived from the New Economic Geography and Marshall externalities. At the industry specific level, I find that within-industry spillovers are important for German low-tech firms but not for high-tech firms or knowledge intensive firms. At the department level, Marshall externalities such as hiring skilled labor and technological spillover effects are empirically confirmed for some departments like Human Resources or R&D but rarely for others like Production.
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Bibliographic InfoPaper provided by DEGIT, Dynamics, Economic Growth, and International Trade in its series DEGIT Conference Papers with number c013_023.
Length: 29 pages
Date of creation: Nov 2008
Date of revision:
agglomeration economies; new economic geography; externalities; cluster analysis; logistic regression;
Other versions of this item:
- Kurt A. Hafner, 2013. "Agglomeration economies and clustering -- evidence from German and European firms," Applied Economics, Taylor & Francis Journals, vol. 45(20), pages 2938-2953, July.
- Hafner, Kurt A., 2008. "Agglomeration economies and clustering: Evidence from German firms," Center for European, Governance and Economic Development Research Discussion Papers 72, University of Goettingen, Department of Economics.
- C20 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - General
- D21 - Microeconomics - - Production and Organizations - - - Firm Behavior: Theory
- F12 - International Economics - - Trade - - - Models of Trade with Imperfect Competition and Scale Economies; Fragmentation
- R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)
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