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Parsing the Menagerie of Agglomeration and Network Externalities

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Author Info
Johansson, Börje () (CESIS - Centre of Excellence for Science and Innovation Studies, Royal Institute of Technology)

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Abstract

Externalities have for a long time been perceived as awkward cases that are alien to well-structured economic analyses. During recent decades ideas inherited from Marshall and others have regained interest in the analysis of specialisation and trade, urban formation and growth as well as innovation processes. A variety of contributions has brought about an equally varied set of externalities with labels such as localisation and urbanisation economies, industrial districts, innovative regions. This presentation attempts to bring order to the many ideas about externalities by classifying them with regard to the sources and consequences of the externalities, and to the externality mechanisms. A basic separation is made between those externalities that affect efficiency and those that generate developmen

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Publisher Info
Paper provided by Royal Institute of Technology, CESIS - Centre of Excellence for Science and Innovation Studies in its series Working Paper Series in Economics and Institutions of Innovation with number 2.

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Length: 42 pages
Date of creation: 28 Sep 2004
Date of revision:
Handle: RePEc:hhs:cesisp:0002

Contact details of provider:
Postal: CESIS - Centre of Excellence for Science and Innovation Studies, Royal Institute of Technology, SE-100 44 Stockholm, Sweden
Phone: +46 8 790 95 63
Web page: http://www.infra.kth.se/cesis/
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Related research
Keywords: Externalities; Networks; Agglomeration; Innovation;

Other versions of this item:

Find related papers by JEL classification:
L11 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Production, Pricing, and Market Structure; Size Distribution of Firms
O30 - Economic Development, Technological Change, and Growth - - Technological Change - - - General
R30 - Urban, Rural, and Regional Economics - - Production Analysis and Firm Location - - - General

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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Andersson, Martin & Karlsson, Charlie, 2002. "The role of accessibility for regional innovation systems," ERSA conference papers ersa02p242, European Regional Science Association. [Downloadable!]
  2. Alchian, Armen A & Demsetz, Harold, 1972. "Production , Information Costs, and Economic Organization," American Economic Review, American Economic Association, vol. 62(5), pages 777-95, December. [Downloadable!] (restricted)
    Other versions:
  3. Jaffe, Adam B, 1989. "Real Effects of Academic Research," American Economic Review, American Economic Association, vol. 79(5), pages 957-70, December. [Downloadable!] (restricted)
  4. Baptista, Rui, 2000. "Do innovations diffuse faster within geographical clusters?," International Journal of Industrial Organization, Elsevier, vol. 18(3), pages 515-535, April. [Downloadable!] (restricted)
  5. Krugman, Paul R, 1981. "Intraindustry Specialization and the Gains from Trade," Journal of Political Economy, University of Chicago Press, vol. 89(5), pages 959-73, October. [Downloadable!] (restricted)
  6. Johansson, Borje & Westin, Lars, 1994. "Affinities and Frictions of Trade Networks," The Annals of Regional Science, Springer, vol. 28(3), pages 243-61, September.
  7. Venables, Anthony J, 1996. "Equilibrium Locations of Vertically Linked Industries," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 37(2), pages 341-59, May.
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  8. Roberta Capello, 2002. "Entrepreneurship and spatial externalities: Theory and measurement," The Annals of Regional Science, Springer, vol. 36(3), pages 387-402. [Downloadable!] (restricted)
  9. Fujita, Masahisa, 1988. "A monopolistic competition model of spatial agglomeration : Differentiated product approach," Regional Science and Urban Economics, Elsevier, vol. 18(1), pages 87-124, February. [Downloadable!] (restricted)
  10. Rui Baptista, 1999. "The Diffusion of Process Innovations: A Selective Review," International Journal of the Economics of Business, Taylor and Francis Journals, vol. 6(1), pages 107-129, February. [Downloadable!] (restricted)
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  12. Belleflamme, Paul & Picard, Pierre & Thisse, Jacques-Francois, 2000. "An Economic Theory of Regional Clusters," Journal of Urban Economics, Elsevier, vol. 48(1), pages 158-184, July. [Downloadable!] (restricted)
  13. Mytelka, Lynn & Farinelli, Fulvia, 2000. "Local Clusters, Innovation Systems and Sustained Competitiveness," Discussion Papers 5, United Nations University, Institute for New Technologies. [Downloadable!]
  14. Stefano Breschi & Francesco Lissoni, 2001. "articles: Localised knowledge spillovers vs. innovative milieux: Knowledge "tacitness" reconsidered," Papers in Regional Science, Springer, vol. 80(3), pages 255-273. [Downloadable!] (restricted)
  15. Yarbrough, Beth V. & Yarbrough, Robert M., 1988. "The transactional structure of the firm : A comparative survey," Journal of Economic Behavior & Organization, Elsevier, vol. 10(1), pages 1-28, July. [Downloadable!] (restricted)
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Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Dan Kaufmann & Dafna Schwartz, 2009. "Networking strategies of young biotechnology firms in Israel," The Annals of Regional Science, Springer, vol. 43(3), pages 599-613, September. [Downloadable!] (restricted)
  2. Johansson, Börje & Lööf, Hans, 2005. "FDI Inflows to Sweden Consequences for Innovation and Renewal," Working Paper Series in Economics and Institutions of Innovation 36, Royal Institute of Technology, CESIS - Centre of Excellence for Science and Innovation Studies. [Downloadable!]
  3. Andersson, Martin & Ejermo, Olof, 2004. "How does Accessibility to Knowledge Sources affect the Innovativeness of Corporations? - Evidence from Sweden," Working Paper Series in Economics and Institutions of Innovation 3, Royal Institute of Technology, CESIS - Centre of Excellence for Science and Innovation Studies. [Downloadable!]
    Other versions:
  4. Johansson, Börje & Lööf, Hans, 2006. "Innovation Activities Explained By Firm Attributes And Location," Working Paper Series in Economics and Institutions of Innovation 63, Royal Institute of Technology, CESIS - Centre of Excellence for Science and Innovation Studies. [Downloadable!]
    Other versions:
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