Determinants of Firm Location: Empirical Evidence for France
This paper analyzes the effects of local externalities on the probability of starting a new economic activity. We use firm-level data and geographic information on French zip-codes for 1993-2002. Poisson and Negative Binomial panel data models are estimated as they naturally allow for large sets of location choices with frequent zero outcomes and control for unobserved zip-code heterogeneity. To measure the geographic extent of location externalities we compute localization, urbanization and congestion variables for neighboring regions. We separately analyze the scale effects stemming from exporting and non-exporting firms. Our results show that agglomeration economies at zip-code level strongly effect the location decision of industrial establishments and find the presence of agglomeration shadows, one of the core predictions of the standard New Economic Geography formulations.
|Date of creation:||Aug 2008|
|Date of revision:|
|Contact details of provider:|| Postal: P.O. Box 36, 1211 Geneva 21|
Phone: ++41 22 731 17 30
Fax: ++41 22 738 43 06
Web page: http://www.graduateinstitute.ch/economics
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.:
- Josep Maria Arauzo Carod, 2005.
"Determinants of industrial location: An application for Catalan municipalities,"
Papers in Regional Science,
Wiley Blackwell, vol. 84(1), pages 105-120, 03.
- Josep Maria Arauzo Carod, . "Determinants of industrial location. An application for Catalan municipalities," Studies on the Spanish Economy 138, FEDEA.
- Josep Maria Arauzo Carod & Miguel C. ManjÛn AntolÌn, 2004.
"Firm Size and Geographical Aggregation: An Empirical Appraisal in Industrial Location,"
Small Business Economics,
Springer, vol. 22(3_4), pages 299-312, 04.
- Arauzo Carod, Josep Maria & Manjón Antolín, Miguel C., 2001. "Firm Size and Geographical Aggregation: An Empirical Appraisal in Industrial Location," Working Papers 2072/1772, Universitat Rovira i Virgili, Department of Economics.
When requesting a correction, please mention this item's handle: RePEc:gii:giihei:heidwp08-2008. 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: (Rahul Mehrotra)
If references are entirely missing, you can add them using this form.