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Dots to boxes: Do the size and shape of spatial units jeopardize economic geography estimations?

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Anthony Briant
Pierre-Philippe Combes
Miren Lafourcade

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Abstract

This paper evaluates, in the context of economic geography estimates, the magnitude of the distortions arising from the choice of zoning system, which is also known as the Modifiable Areal Unit Problem (MAUP). We consider three standard economic geography exercises (the analysis of spatial concentration, agglomeration economies, and trade determinants), using various French zoning systems differentiated according to the size and shape of spatial units, which are the two main determinants of the MAUP. While size matters a little, shape does so much less. Both dimensions seem to be of secondary importance compared to specification issues.

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Paper provided by PSE (Ecole normale supérieure) in its series PSE Working Papers with number 2008-66.

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Date of creation: 2008
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Handle: RePEc:pse:psecon:2008-66

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  1. Ciccone, Antonio & Hall, Robert E, 1996. "Productivity and the Density of Economic Activity," American Economic Review, American Economic Association, vol. 86(1), pages 54-70, March. [Downloadable!] (restricted)
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  2. Combes, Pierre-Philippe & Lafourcade, Miren & Mayer, Thierry, 2005. "The trade-creating effects of business and social networks: evidence from France," Journal of International Economics, Elsevier, vol. 66(1), pages 1-29, May. [Downloadable!] (restricted)
  3. Redding, Stephen & Venables, Anthony J., 2004. "Economic geography and international inequality," Journal of International Economics, Elsevier, vol. 62(1), pages 53-82, January. [Downloadable!] (restricted)
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  4. James E. Rauch, 2001. "Business and Social Networks in International Trade," Journal of Economic Literature, American Economic Association, vol. 39(4), pages 1177-1203, December. [Downloadable!] (restricted)
  5. Gilles Duranton, 2005. "Testing for Localization Using Micro-Geographic Data," Review of Economic Studies, Blackwell Publishing, vol. 72(4), pages 1077-1106, October. [Downloadable!] (restricted)
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  6. Combes, Pierre-Philippe & Duranton, Gilles & Gobillon, Laurent, 2008. "Spatial wage disparities: Sorting matters!," Journal of Urban Economics, Elsevier, vol. 63(2), pages 723-742, March. [Downloadable!] (restricted)
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  7. John M. Abowd & Francis Kramarz & Sébastien Roux, 2006. "Wages, Mobility and Firm Performance: Advantages and Insights from Using Matched Worker-Firm Data," Economic Journal, Royal Economic Society, vol. 116(512), pages F245-F285, 06. [Downloadable!] (restricted)
  8. Ellison, Glenn & Glaeser, Edward L, 1997. "Geographic Concentration in U.S. Manufacturing Industries: A Dartboard Approach," Journal of Political Economy, University of Chicago Press, vol. 105(5), pages 889-927, October.
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  9. H. Hanson, Gordon, 2005. "Market potential, increasing returns and geographic concentration," Journal of International Economics, Elsevier, vol. 67(1), pages 1-24, September. [Downloadable!] (restricted)
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(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. Eric Marcon & Florence Puech, 2009. "Measures of the Geographic Concentration of Industries: Improving Distance-Based Methods," Working Papers halshs-00372617_v1, HAL. [Downloadable!]
  2. Gilles Duranton & Andrés Rodríguez-Pose & Richard Sandall, 2008. "Family Types and the Persistence of Regional Disparities in Europe," SERC Discussion Papers 0009, Spatial Economics Research Centre, LSE. [Downloadable!]
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