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Agglomeration externalities, competition and productivity: empirical evidence from firms located in Ukraine

Author

Listed:
  • Andrzej Cieślik

    (University of Warsaw)

  • Iryna Gauger

    (Hamburg School of Business Administration)

  • Jan Jakub Michałek

    (University of Warsaw)

Abstract

This paper studies role of agglomeration externalities and market structure in determination of total factor productivity (TFP) of Ukrainian firms, having controlled for individual firm characteristics. We use micro-level data for manufacturing and service sectors in years 2005 and 2013. Our empirical results confirm the importance of various agglomeration externalities as well as competition in determination of TFP of Ukrainian firms. In addition, we find the statistically significant link between the total factor productivity, intangible assets, capital intensity, firm size, ownership status and firm internationalization (exports and imports).

Suggested Citation

  • Andrzej Cieślik & Iryna Gauger & Jan Jakub Michałek, 2018. "Agglomeration externalities, competition and productivity: empirical evidence from firms located in Ukraine," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 60(1), pages 213-233, January.
  • Handle: RePEc:spr:anresc:v:60:y:2018:i:1:d:10.1007_s00168-017-0851-4
    DOI: 10.1007/s00168-017-0851-4
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    Cited by:

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    2. Cheng, Zhonghua & Li, Xiang & Zhu, Yeman & Wang, Meixiao, 2023. "The effects of agglomeration externalities on urban green total-factor productivity in China," Economic Systems, Elsevier, vol. 47(2).
    3. Behr, Andreas & Schiwy, Christoph & Hong, Lucy, 2022. "Impact of Agglomeration Economies on Regional Performance in Germany," Journal of Regional Analysis and Policy, Mid-Continent Regional Science Association, vol. 52(1), May.
    4. Grace Carolina Guevara‐Rosero, 2021. "Determinants of manufacturing micro firms' productivity in Ecuador. Do industry and canton where they operate matter?," Regional Science Policy & Practice, Wiley Blackwell, vol. 13(4), pages 1215-1248, August.
    5. Natálie Veselá & Volodymyr Rodchenko & David Hampel, 2022. "On the Investment Attractiveness of Ukrainian Companies," European Journal of Business Science and Technology, Mendel University in Brno, Faculty of Business and Economics, vol. 8(1), pages 54-71.
    6. Jinliang Jiang & Zhensheng Xu & Jiayi Lu & Dongqi Sun, 2022. "Does Network Externality of Urban Agglomeration Benefit Urban Economic Growth—A Case Study of the Yangtze River Delta," Land, MDPI, vol. 11(4), pages 1-19, April.

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    JEL classification:

    • L11 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Production, Pricing, and Market Structure; Size Distribution of Firms
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • P33 - Political Economy and Comparative Economic Systems - - Socialist Institutions and Their Transitions - - - International Trade, Finance, Investment, Relations, and Aid
    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)

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