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Agglomeration Externalities and Localized Employment Growth

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Author Info
Friso de Vor () (VU University Amsterdam)
Henri L.F. de Groot () (VU University Amsterdam)

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Abstract

This paper addresses the question to what extent the performance of industrial sites is affected by their local economic structure and accessibility. For this aim, we test for the existence of statistically significant relationships between agglomeration externalities (specialization, diversity, and competition), accessibilty measures and the employment growth of a particular industry on a particular site. We use data on employment growth of site-industries on 68 formal industrial sites in the municipality of Amsterdam between 1998 and 2006. We show that at the site-industry level, specialization hampers growth. Furthermore, we find that industrial sites that are easily accessible from the highway grow relatively fast, as well as sites located in the Amsterdam harbour area.

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Paper provided by Tinbergen Institute in its series Tinbergen Institute Discussion Papers with number 08-033/3.

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Date of creation: 27 Mar 2008
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Handle: RePEc:dgr:uvatin:20080033

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Related research
Keywords: industrial sites; agglomeration externalities; employment growth; spatial heterogeneity; accessibility;

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Find related papers by JEL classification:
C31 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models
O18 - Economic Development, Technological Change, and Growth - - Economic Development - - - Regional, Urban, and Rural Analyses
R11 - Urban, Rural, and Regional Economics - - General Regional Economics - - - Analysis of Growth, Development, and Changes

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  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. [Downloadable!] (restricted)
    Other versions:
  2. J. Vernon Henderson, 1994. "Externalities and Industrial Development," NBER Working Papers 4730, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
    Other versions:
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    Other versions:
    • Edward L. Glaeser & Hedi D. Kallal & Jose A. Scheinkman & Andrei Shleifer, 1991. "Growth in Cities," NBER Working Papers 3787, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  9. Erik Louw & Yvonne Bontekoning, 2007. "Planning Of Industrial Land In The Netherlands: Its Rationales And Consequences," Tijdschrift voor Economische en Sociale Geografie, Royal Dutch Geographical Society KNAG, vol. 98(1), pages 121-129, 02. [Downloadable!] (restricted)
  10. Ron A. Boschma, 2002. "Knowledge, Market Structure, and Economic Coordination: Dynamics of Industrial Districts," Growth and Change, Gatton College of Business and Economics, University of Kentucky, vol. 33(3), pages 291-311. [Downloadable!] (restricted)
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  12. Henri L.F. de Groot & Jacques Poot & Martijn J. Smit, 2007. "Agglomeration, Innovation and Regional Development: Theoretical Perspectives and Meta-Analysis," Tinbergen Institute Discussion Papers 07-079/3, Tinbergen Institute. [Downloadable!]
  13. Rosenthal, Stuart S. & Strange, William C., 2004. "Evidence on the nature and sources of agglomeration economies," 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 49, pages 2119-2171 Elsevier. [Downloadable!] (restricted)
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  15. Stefano Breschi & Francesco Lissoni, 2003. "Mobility and Social Networks: Localised Knowledge Spillovers Revisited," CESPRI Working Papers 142, CESPRI, Centre for Research on Innovation and Internationalisation, Universita' Bocconi, Milano, Italy, revised Mar 2003. [Downloadable!]
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