Agglomerative Forces and Cluster Shapes
Abstract
We model spatial clusters of similar firms. Our model highlights how agglomerative forces lead to localized, individual connections among firms, while interaction costs generate a defined distance over which attraction forces operate. Overlapping firm interactions yield agglomeration clusters that are much larger than the underlying agglomerative forces themselves. Empirically, we demonstrate that our model's assumptions are present in the structure of technology and labor flows within Silicon Valley and its surrounding areas. Our model further identifies how the lengths over which agglomerative forces operate influence the shapes and sizes of industrial clusters; we confirm these predictions using variations across both technology clusters and industry agglomeration.Download Info
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Bibliographic Info
Paper provided by National Bureau of Economic Research, Inc in its series NBER Working Papers with number 16639.Length:
Date of creation: Dec 2010
Date of revision:
Handle: RePEc:nbr:nberwo:16639
Note: IO LS PR
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Keywords:Other versions of this item:
- William R. Kerr & Scott Duke Kominers, 2012. "Agglomerative Forces and Cluster Shapes," Working Papers 12-09, Center for Economic Studies, U.S. Census Bureau.
- William R. Kerr & Scott Duke Kominers, 2010. "Agglomerative Forces and Cluster Shapes," Harvard Business School Working Papers 11-061, Harvard Business School, revised Nov 2012.
- J2 - Labor and Demographic Economics - - Demand and Supply of Labor
- J6 - Labor and Demographic Economics - - Mobility, Unemployment, and Vacancies
- L1 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance
- L2 - Industrial Organization - - Firm Objectives, Organization, and Behavior
- L6 - Industrial Organization - - Industry Studies: Manufacturing
- O3 - Economic Development, Technological Change, and Growth - - Technological Change; Research and Development; Intellectual Property Rights
- R1 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics
- R3 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Real Estate Markets, Production Analysis, and Firm Location
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Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.Cited by:
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