Regional Interaction & Economic Diversity - exploring the role of geographically overlapping markets for a municipality’s diversity in retail and durables
AbstractThis paper is devoted to the study of municipal diversity in retail and durables. Specifically, it analyzes how a region’s relative market-accessibility in a system (or hierarchy) of municipalities affects the extent of diversity. In the theoretical part of the paper a simple modelmunicipal diversity in retail and durables is introduced, which incorporates the municipality’s position in a system of municipalities. Using this model as a point of reference, the paper explores the relationship between market-size and diversity in Swedish regions from 1993 to 2001 by means of a panel data approach. Three types of market-sizes are considered: (i) intramunicipal,(ii) intra-regional and (iii) extra-regional. It is shown that the relationships between diversity and the three types of market-sizes differ between different types of municipalities in the hierarchy, implying that such a classification is warranted. One particular finding that corresponds to the agglomeration shadow-effects usually discussed in NEG-theories is that large municipalities gain from proximity to surrounding municipalities while small municipalities do not.
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Bibliographic InfoPaper 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 49.
Length: 18 pages
Date of creation: 28 Mar 2006
Date of revision:
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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diversity; accessibility; retail; durables; market potential; market size; hierarch systems; management; technological change; trade unions.;
Find related papers by JEL classification:
- L10 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - General
- O10 - Economic Development, Technological Change, and Growth - - Economic Development - - - General
This paper has been announced in the following NEP Reports:
- NEP-ALL-2006-04-01 (All new papers)
- NEP-GEO-2006-04-01 (Economic Geography)
- NEP-URE-2006-04-01 (Urban & Real Estate Economics)
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- Öner, Özge & Larsson, Johan P., 2013. "Location and Co-location in Retail - A Probabilistic Approach Using Geo-coded Data for Swedish Metropolitan Retail Markets," HUI Working Papers 80, HUI Research.
- Sofia Wixe, 2011. "Skills, Education and Productivity in the Service Sector - Firm Level Evidence on the Presence of Externalities," ERSA conference papers ersa11p754, European Regional Science Association.
- Johansson, Börje & Warda, Peter, 2013. "Internal and External Knowledge Sources of New Export Products," Working Paper Series in Economics and Institutions of Innovation 331, Royal Institute of Technology, CESIS - Centre of Excellence for Science and Innovation Studies.
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