Dynamic Externalities and Manufacturing Productivity: An empirical comparison among China's top three municipalities
By reviewing and improving previous empirical works on this topic, the present paper investigates the dynamic externalities of agglomeration in China. Taking China's top three municipalities (i.e., Beijing, Shanghai, and Tianjin) as sample regions, it assesses empirically and compares how three types of dynamic externalities—namely MAR (Marshall-Arrow-Romer), Jacobs, and Porter externalities—affect manufacturing productivity. The main findings of this paper are threefold. First, all three types of dynamic externalities measured in labor productivity can be found in the three sample regions, but large differences in the degrees and directions of the effects exist among them. Second, the degree and sign of the effects of each type of externality vary with changes in time lags. Third, the positive effects of these externalities seem to be substitutable for one another. Specifically, if MAR externalities contribute more to productivity growth in one city, Jacobs or Porter externalities do so to a lesser degree and vice versa.
|Date of creation:||Nov 2012|
|Date of revision:|
|Contact details of provider:|| Postal: 11th floor, Annex, Ministry of Economy, Trade and Industry (METI) 1-3-1, Kasumigaseki Chiyoda-ku, Tokyo, 100-8901|
Web page: http://www.rieti.go.jp/
More information through EDIRC
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.:
- Federico Cingano & Fabiano Schivardi, 2004.
"Identifying the Sources of Local Productivity Growth,"
Journal of the European Economic Association,
MIT Press, vol. 2(4), pages 720-742, 06.
- Federico Cingano & Fabiano Schivardi, 2003. "Identifying the Sources of Local Productivity Growth," Temi di discussione (Economic working papers) 474, Bank of Italy, Economic Research and International Relations Area.
- Duranton, Gilles & Puga, Diego, 2000.
"Nursery Cities: Urban Diversity, Process Innovation, and the Life-Cycle of Products,"
CEPR Discussion Papers
2376, C.E.P.R. Discussion Papers.
- Gilles Duranton & Diego Puga, 2001. "Nursery Cities: Urban Diversity, Process Innovation, and the Life Cycle of Products," American Economic Review, American Economic Association, vol. 91(5), pages 1454-1477, December.
- Gilles Duranton & Diego Puga, 2000. "Nursery cities: urban diversity, process innovation and the life-cycle of products," LSE Research Online Documents on Economics 20204, London School of Economics and Political Science, LSE Library.
- Gilles Duranton & Diego Puga, 2000. "Nursery Cities: Urban diversity, process innovation, and the life-cycle of products," Working Papers dpuga-00-01, University of Toronto, Department of Economics.
- Gilles Duranton & Diego Puga, 2000. "Nursery Cities: Urban Diversity, Process Innovation and the Life-Cycle of Products," CEP Discussion Papers dp0445, Centre for Economic Performance, LSE.
- Krugman, Paul, 1991.
"Increasing Returns and Economic Geography,"
Journal of Political Economy,
University of Chicago Press, vol. 99(3), pages 483-99, June.
- Maurice J.G. Bun & Abdel El Makhloufi, 2002.
"Dynamic externalities, local industrial structure and economic development: panel data evidence for Morocco,"
10th International Conference on Panel Data, Berlin, July 5-6, 2002
D5-2, International Conferences on Panel Data.
- Maurice J. G. Bun & Abderrahman El Makhloufi, 2007. "Dynamic Externalities, Local Industrial Structure and Economic Development: Panel Data Evidence for Morocco," Regional Studies, Taylor & Francis Journals, vol. 41(6), pages 823-837.
- J. Vernon Henderson & Ari Kuncoro & Matthew Turner, 1992.
"Industrial Development in Cities,"
NBER Working Papers
4178, National Bureau of Economic Research, Inc.
- Cécile BATISSE, 2001.
"Dynamic externalities and local growth:A panel data analysis applied to Chinese provinces,"
- Batisse, Cecile, 2002. "Dynamic externalities and local growth: A panel data analysis applied to Chinese provinces," China Economic Review, Elsevier, vol. 13(2-3), pages 231-251.
- Nelson, Andrew J., 2009. "Measuring knowledge spillovers: What patents, licenses and publications reveal about innovation diffusion," Research Policy, Elsevier, vol. 38(6), pages 994-1005, July.
- Zheng, Xiao-Ping, 2010. "A cointegration analysis of dynamic externalities," Japan and the World Economy, Elsevier, vol. 22(2), pages 130-140, March.
- Robert Dekle, 2002. "Industrial Concentration And Regional Growth: Evidence From The Prefectures," The Review of Economics and Statistics, MIT Press, vol. 84(2), pages 310-315, May.
- Paul M Romer, 1999.
"Increasing Returns and Long-Run Growth,"
Levine's Working Paper Archive
2232, David K. Levine.
- Henderson, Vernon, 1997.
"Externalities and Industrial Development,"
Journal of Urban Economics,
Elsevier, vol. 42(3), pages 449-470, November.
- de Lucio, Juan J. & Herce, Jose A. & Goicolea, Ana, 2002. "The effects of externalities on productivity growth in Spanish industry," Regional Science and Urban Economics, Elsevier, vol. 32(2), pages 241-258, March.
- Combes, Pierre-Philippe, 2000. "Economic Structure and Local Growth: France, 1984-1993," Journal of Urban Economics, Elsevier, vol. 47(3), pages 329-355, May.
- Dornbusch, Rudiger & Park, Yung Chul & Claessens, Stijn, 2000. "Contagion: Understanding How It Spreads," World Bank Research Observer, World Bank Group, vol. 15(2), pages 177-97, August.
When requesting a correction, please mention this item's handle: RePEc:eti:dpaper:12072. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (NUKATANI Sorahiko)
If references are entirely missing, you can add them using this form.