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An Anatomy of the Geographical Concentration of Canadian Manufacturing Industries

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  • Kristian Behrens
  • Théophile Bougna

Abstract

We document the location patterns of Canadian manufacturing industries – as well as changes in those patterns over the first decade of 2000 – using detailed micro-geographic data. Depending on industry definitions and years, 40 to 60 percent of industries are clustered. According to our measures, manufacturing industries become less geographically concentrated in Canada, i.e., localization is decreasing. Yet, some of the most localized industries are becoming even more localized. We also document the locational trends specific to small firms, young firms, and exporters. We find that their location patterns do not differ significantly from that of the other firms in their industries.

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File URL: http://www.cirpee.org/fileadmin/documents/Cahiers_2013/CIRPEE13-27.pdf
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Bibliographic Info

Paper provided by CIRPEE in its series Cahiers de recherche with number 1327.

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Date of creation: 2013
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Handle: RePEc:lvl:lacicr:1327

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Keywords: Location patterns; manufacturing industries; micro-geographic data; Canada;

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References

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  1. Gilles Duranton & Henry G. Overman, 2008. "Exploring The Detailed Location Patterns Of U.K. Manufacturing Industries Using Microgeographic Data," Journal of Regional Science, Wiley Blackwell, vol. 48(1), pages 213-243.
  2. Glenn Ellison & Edward L. Glaeser, 1994. "Geographic Concentration in U.S. Manufacturing Industries: A Dartboard Approach," NBER Working Papers 4840, National Bureau of Economic Research, Inc.
  3. Devereux, Michael P. & Griffith, Rachel & Simpson, Helen, 2004. "The geographic distribution of production activity in the UK," Regional Science and Urban Economics, Elsevier, vol. 34(5), pages 533-564, September.
  4. Stuart S. Rosenthal & William C. Strange, 1999. "Geography, Industrial Organization, and Agglomeration," Center for Policy Research Working Papers 14, Center for Policy Research, Maxwell School, Syracuse University.
  5. Duranton, Gilles & Overman, Henry G., 2002. "Testing for Localization Using Micro-Geographic Data," CEPR Discussion Papers 3379, C.E.P.R. Discussion Papers.
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  7. Paulo Guimarães & Octávio Figueiredo & Douglas Woodward, 2011. "Accounting For Neighboring Effects In Measures Of Spatial Concentration," Journal of Regional Science, Wiley Blackwell, vol. 51(4), pages 678-693, October.
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  10. Glenn Ellison & Edward L. Glaeser & William Kerr, 2007. "What Causes Industry Agglomeration? Evidence from Coagglomeration Patterns," NBER Working Papers 13068, National Bureau of Economic Research, Inc.
  11. Gilles Duranton, 2011. "California Dreamin': The Feeble Case for Cluster Policies," Review of Economic Analysis, Rimini Centre for Economic Analysis, vol. 3(1), pages 3-45, July.
  12. Nakajima, Kentaro & Saito, Yukiko Umeno & Uesugi, Iichiro, 2011. "Measuring Economic Localization: Evidence from Japanese Firm-level Data," Working Paper Series 10, Center for Interfirm Network, Institute of Economic Research, Hitotsubashi University.
  13. Yasusada Murata & Ryo Nakajima & Ryosuke Okamoto & Ryuichi Tamura, 2011. "Localized knowledge spillovers and patent citations: A distance-based approach," GRIPS Discussion Papers 11-11, National Graduate Institute for Policy Studies.
  14. Guy Dumais & Glenn Ellison & Edward Glaeser, 1997. "Geographic Concentration as a Dynamic Process," NBER Working Papers 6270, National Bureau of Economic Research, Inc.
  15. Barlet, M. & Briant, A. & Crusson, L., 2013. "Location patterns of service industries in France: A distance-based approach," Regional Science and Urban Economics, Elsevier, vol. 43(2), pages 338-351.
  16. Krugman, Paul, 1991. "Increasing Returns and Economic Geography," Journal of Political Economy, University of Chicago Press, vol. 99(3), pages 483-99, June.
  17. Eric Marcon & Florence Puech, 2003. "Evaluating the geographic concentration of industries using distance-based methods," Journal of Economic Geography, Oxford University Press, vol. 3(4), pages 409-428, October.
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