IDEAS home Printed from https://ideas.repec.org/a/bla/presci/v93y2014i1p31-52.html
   My bibliography  Save this article

Testing for labour pooling as a source of agglomeration economies: Evidence for labour markets in England and Wales

Author

Listed:
  • Patricia C. Melo
  • Daniel J. Graham

Abstract

type="main" xml:lang="es"> Este trabajo aporta a Inglaterra y Gales nuevas pruebas sobre la importancia de la puesta en común de la mano de obra, como fuente de economías de aglomeración. Las estimaciones de la productividad del trabajador y la empresa se obtienen de micro-datos longitudinales sobre trabajadores y empresas y se utilizaron para poner a prueba la hipótesis de que los mercados laborales más densos aumentan la calidad del emparejamiento entre empleados y empleadores en los mercados de trabajo. Nuestros resultados aportan pruebas que apoyan una relación positiva entre la calidad del emparejamiento empleado-empleador y el tamaño económico de los mercados laborales.

Suggested Citation

  • Patricia C. Melo & Daniel J. Graham, 2014. "Testing for labour pooling as a source of agglomeration economies: Evidence for labour markets in England and Wales," Papers in Regional Science, Wiley Blackwell, vol. 93(1), pages 31-52, March.
    • Handle: RePEc:bla:presci:v:93:y:2014:i:1:p:31-52
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1111/j.1435-5957.2012.00462.x
    Download Restriction: Access to full text is restricted to subscribers.
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Hansen, Lars Peter, 1982. "Large Sample Properties of Generalized Method of Moments Estimators," Econometrica, Econometric Society, vol. 50(4), pages 1029-1054, July.
    2. Fu, Shihe, 2007. "Smart Cafe Cities: Testing human capital externalities in the Boston metropolitan area," Journal of Urban Economics, Elsevier, vol. 61(1), pages 86-111, January.
    3. Giordano Mion & Paolo Naticchioni, 2009. "The spatial sorting and matching of skills and firms," Canadian Journal of Economics, Canadian Economics Association, vol. 42(1), pages 28-55, February.
    4. Arellano, Manuel & Bover, Olympia, 1995. "Another look at the instrumental variable estimation of error-components models," Journal of Econometrics, Elsevier, vol. 68(1), pages 29-51, July.
    5. Kleibergen, Frank & Paap, Richard, 2006. "Generalized reduced rank tests using the singular value decomposition," Journal of Econometrics, Elsevier, vol. 133(1), pages 97-126, July.
    6. Mary Amiti & Lisa Cameron, 2007. "Economic Geography and Wages," The Review of Economics and Statistics, MIT Press, vol. 89(1), pages 15-29, February.
    7. Rice, Patricia & Venables, Anthony J. & Patacchini, Eleonora, 2006. "Spatial determinants of productivity: Analysis for the regions of Great Britain," Regional Science and Urban Economics, Elsevier, vol. 36(6), pages 727-752, November.
    8. Richard E. Baldwin & Toshihiro Okubo, 2006. "Heterogeneous firms, agglomeration and economic geography: spatial selection and sorting," Journal of Economic Geography, Oxford University Press, vol. 6(3), pages 323-346, June.
    9. Rosenthal, Stuart S. & Strange, William C., 2001. "The Determinants of Agglomeration," Journal of Urban Economics, Elsevier, vol. 50(2), pages 191-229, September.
    10. Blundell, Richard & Bond, Stephen, 1998. "Initial conditions and moment restrictions in dynamic panel data models," Journal of Econometrics, Elsevier, vol. 87(1), pages 115-143, August.
    11. Yankow, Jeffrey J., 2006. "Why do cities pay more? An empirical examination of some competing theories of the urban wage premium," Journal of Urban Economics, Elsevier, vol. 60(2), pages 139-161, September.
    12. Wheeler, Christopher H, 2001. "Search, Sorting, and Urban Agglomeration," Journal of Labor Economics, University of Chicago Press, vol. 19(4), pages 879-899, October.
    13. 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.
    14. Wheeler, Christopher H., 2006. "Cities and the growth of wages among young workers: Evidence from the NLSY," Journal of Urban Economics, Elsevier, vol. 60(2), pages 162-184, September.
    15. Volker Nocke, 2006. "A Gap for Me: Entrepreneurs and Entry," Journal of the European Economic Association, MIT Press, vol. 4(5), pages 929-956, September.
    16. Thierry Bracke & Reiner Martin, 2012. "Introduction," Palgrave Macmillan Books, in: Thierry Bracke & Reiner Martin (ed.), From Crisis to Recovery, pages 1-5, Palgrave Macmillan.
    17. 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.
    18. Andersson, Fredrik & Burgess, Simon & Lane, Julia I., 2007. "Cities, matching and the productivity gains of agglomeration," Journal of Urban Economics, Elsevier, vol. 61(1), pages 112-128, January.
    19. Olley, G Steven & Pakes, Ariel, 1996. "The Dynamics of Productivity in the Telecommunications Equipment Industry," Econometrica, Econometric Society, vol. 64(6), pages 1263-1297, November.
    20. Glaeser, Edward L & Mare, David C, 2001. "Cities and Skills," Journal of Labor Economics, University of Chicago Press, vol. 19(2), pages 316-342, April.
    21. Daniel J. Graham & Patricia S. Melo & Piyapong Jiwattanakulpaisarn & Robert B. Noland, 2010. "Testing For Causality Between Productivity And Agglomeration Economies," Journal of Regional Science, Wiley Blackwell, vol. 50(5), pages 935-951, December.
    22. Diego Puga, 2010. "The Magnitude And Causes Of Agglomeration Economies," Journal of Regional Science, Wiley Blackwell, vol. 50(1), pages 203-219, February.
    23. 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.
    24. Di Addario, Sabrina, 2011. "Job search in thick markets," Journal of Urban Economics, Elsevier, vol. 69(3), pages 303-318, May.
    25. Glenn Ellison & Edward L. Glaeser & William R. Kerr, 2010. "What Causes Industry Agglomeration? Evidence from Coagglomeration Patterns," American Economic Review, American Economic Association, vol. 100(3), pages 1195-1213, June.
    26. Melo, Patricia C. & Graham, Daniel J. & Noland, Robert B., 2009. "A meta-analysis of estimates of urban agglomeration economies," Regional Science and Urban Economics, Elsevier, vol. 39(3), pages 332-342, May.
    27. Yunsoo Kim & David L. Barkley & Mark S. Henry, 2000. "Industry Characteristics Linked to Establishment Concentrations in Nonmetropolitan Areas," Journal of Regional Science, Wiley Blackwell, vol. 40(2), pages 234-259, May.
    28. James Levinsohn & Amil Petrin, 2003. "Estimating Production Functions Using Inputs to Control for Unobservables," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 70(2), pages 317-341.
    29. Todd M. Gabe & Jaison R. Abel, 2012. "Specialized knowledge and the geographic concentration of occupations," Journal of Economic Geography, Oxford University Press, vol. 12(2), pages 435-453, March.
    30. David L. Rigby & J¸rgen Essletzbichler, 2002. "Agglomeration economies and productivity differences in US cities," Journal of Economic Geography, Oxford University Press, vol. 2(4), pages 407-432, October.
    31. Manuel Arellano & Stephen Bond, 1991. "Some Tests of Specification for Panel Data: Monte Carlo Evidence and an Application to Employment Equations," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 58(2), pages 277-297.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Shulin Wan & Weixin Luan & Qiaoqiao Lin, 2021. "Industry linkage, spatial correlation, and city exports: case study of the textile and clothing export industry in China," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 66(1), pages 91-112, February.
    2. Shamnaaz B. Sufrauj & Giancarlo Corò & Mario Volpe, 2017. "Regional labour market mobility. A network analysis of inter-firm relatedness," Working Papers 2017:06, Department of Economics, University of Venice "Ca' Foscari".
    3. Niebuhr, Annekatrin, 2016. "Benefits of dense labour markets - Evidence from transitions to employment in Germany," VfS Annual Conference 2016 (Augsburg): Demographic Change 145715, Verein für Socialpolitik / German Economic Association.
    4. Michiel van Meeteren & Ate Poorthuis & Ben Derudder & Frank Witlox, 2016. "Pacifying Babel’s Tower: A scientometric analysis of polycentricity in urban research," Urban Studies, Urban Studies Journal Limited, vol. 53(6), pages 1278-1298, May.
    5. Eliasson, Jonas & Savemark, Christian & Franklin, Joel, 2020. "The impact of land use effects in infrastructure appraisal," Transportation Research Part A: Policy and Practice, Elsevier, vol. 141(C), pages 262-276.
    6. Eliasson, Jonas & Fosgerau, Mogens, 2019. "Cost-benefit analysis of transport improvements in the presence of spillovers, matching and an income tax," Economics of Transportation, Elsevier, vol. 18(C), pages 1-9.
    7. Wang, Xuliang & Xu, Lulu & Ye, Qin & He, Shi & Liu, Yi, 2022. "How does services agglomeration affect the energy efficiency of the service sector? Evidence from China," Energy Economics, Elsevier, vol. 112(C).
    8. Leknes, Stefan & Rattsø, Jørn & Stokke, Hildegunn E., 2022. "Assortative labor matching, city size, and the education level of workers," Regional Science and Urban Economics, Elsevier, vol. 96(C).
    9. Chen, Yang & Shao, Shuai & Fan, Meiting & Tian, Zhihua & Yang, Lili, 2022. "One man's loss is another's gain: Does clean energy development reduce CO2 emissions in China? Evidence based on the spatial Durbin model," Energy Economics, Elsevier, vol. 107(C).
    10. Sanne Velthuis & Paul Sissons & Nigel Berkeley, 2019. "Do low-paid workers benefit from the urban escalator? Evidence from British cities," Urban Studies, Urban Studies Journal Limited, vol. 56(8), pages 1664-1680, June.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Combes, Pierre-Philippe & Gobillon, Laurent, 2015. "The Empirics of Agglomeration Economies," Handbook of Regional and Urban Economics, in: Gilles Duranton & J. V. Henderson & William C. Strange (ed.), Handbook of Regional and Urban Economics, edition 1, volume 5, chapter 0, pages 247-348, Elsevier.
    2. Graham, Daniel J. & Melo, Patricia C., 2009. "Agglomeration economies and labour productivity: evidence from longitudinal worker data for GB's travel-to-work areas," LSE Research Online Documents on Economics 33268, London School of Economics and Political Science, LSE Library.
    3. Jordy Meekes & Wolter H. J. Hassink, 2023. "Endogenous local labour markets, regional aggregation and agglomeration economies," Regional Studies, Taylor & Francis Journals, vol. 57(1), pages 13-25, January.
    4. Andini, Monica & de Blasio, Guido & Duranton, Gilles & Strange, William C., 2013. "Marshallian labour market pooling: Evidence from Italy," Regional Science and Urban Economics, Elsevier, vol. 43(6), pages 1008-1022.
    5. Andini, Monica & de Blasio, Guido & Duranton, Gilles & Strange, William C., 2013. "Marshallian labour market pooling: Evidence from Italy," Regional Science and Urban Economics, Elsevier, vol. 43(6), pages 1008-1022.
    6. Paul Verstraten & Gerard Verweij & Peter Zwaneveld, 2018. "Why do wages grow faster in urban areas? Sorting of high potentials matters," CPB Discussion Paper 377, CPB Netherlands Bureau for Economic Policy Analysis.
    7. Paul Verstraten & Gerard Verweij & Peter Zwaneveld, 2018. "Why do wages grow faster in urban areas? Sorting of high potentials matters," CPB Discussion Paper 377.rdf, CPB Netherlands Bureau for Economic Policy Analysis.
    8. Jordi Jofre-Monseny & Raquel Marín-López & Elisabet Viladecans-Marsal, 2014. "The Determinants Of Localization And Urbanization Economies: Evidence From The Location Of New Firms In Spain," Journal of Regional Science, Wiley Blackwell, vol. 54(2), pages 313-337, March.
    9. Matthias Wrede, 2013. "Heterogeneous skills and homogeneous land: segmentation and agglomeration," Journal of Economic Geography, Oxford University Press, vol. 13(5), pages 767-798, September.
    10. Börjesson, Maria & Isacsson, Gunnar & Andersson, Matts & Anderstig, Christer, 2018. "Agglomeration, productivity and the role of transport system improvements," Working papers in Transport Economics 2018:16, CTS - Centre for Transport Studies Stockholm (KTH and VTI).
    11. Daniel Heuermann & Benedikt Halfdanarson & Jens Suedekum, 2010. "Human Capital Externalities and the Urban Wage Premium: Two Literatures and their Interrelations," Urban Studies, Urban Studies Journal Limited, vol. 47(4), pages 749-767, April.
    12. Hanlon, W. Walker & Miscio, Antonio, 2017. "Agglomeration: A long-run panel data approach," Journal of Urban Economics, Elsevier, vol. 99(C), pages 1-14.
    13. Martin Andersson & Hans Lööf, 2011. "Agglomeration and productivity: evidence from firm-level data," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 46(3), pages 601-620, June.
    14. Ricardo A. López & Jens Südekum, 2009. "Vertical Industry Relations, Spillovers, And Productivity: Evidence From Chilean Plants," Journal of Regional Science, Wiley Blackwell, vol. 49(4), pages 721-747, October.
    15. Niebuhr, Annekatrin, 2016. "Benefits of dense labour markets - Evidence from transitions to employment in Germany," VfS Annual Conference 2016 (Augsburg): Demographic Change 145715, Verein für Socialpolitik / German Economic Association.
    16. Walker Hanlon & Antonio Miscio, 2014. "Agglomeration: A Dynamic Approach," NBER Working Papers 20728, National Bureau of Economic Research, Inc.
    17. Andersson, Martin & Larsson, Johan P & Wernberg, Joakim, 2019. "The economic microgeography of diversity and specialization externalities – firm-level evidence from Swedish cities," Research Policy, Elsevier, vol. 48(6), pages 1385-1398.
    18. Kristian Behrens & Gilles Duranton & Frédéric Robert-Nicoud, 2014. "Productive Cities: Sorting, Selection, and Agglomeration," Journal of Political Economy, University of Chicago Press, vol. 122(3), pages 507-553.
    19. Federico Curci, 2015. "The taller the better? Agglomeration determinants and urban structure," ERSA conference papers ersa15p991, European Regional Science Association.
    20. Martin, Philippe & Mayer, Thierry & Mayneris, Florian, 2011. "Spatial concentration and plant-level productivity in France," Journal of Urban Economics, Elsevier, vol. 69(2), pages 182-195, March.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:presci:v:93:y:2014:i:1:p:31-52. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: http://www.blackwellpublishing.com/journal.asp?ref=1056-8190 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.