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Agglomeration externalities in Ecuador. Do urbanisation and tertiarisation matter?

Author

Listed:
  • Carolina Guevara

    (EPN - Escuela Politécnica Nacional)

  • Stéphane Riou

    (GATE Lyon Saint-Étienne - Groupe d'Analyse et de Théorie Economique Lyon - Saint-Etienne - ENS de Lyon - École normale supérieure de Lyon - Université de Lyon - UL2 - Université Lumière - Lyon 2 - UCBL - Université Claude Bernard Lyon 1 - Université de Lyon - UJM - Université Jean Monnet - Saint-Étienne - CNRS - Centre National de la Recherche Scientifique)

  • Corinne Autant-Bernard

    (GATE Lyon Saint-Étienne - Groupe d'Analyse et de Théorie Economique Lyon - Saint-Etienne - ENS de Lyon - École normale supérieure de Lyon - Université de Lyon - UL2 - Université Lumière - Lyon 2 - UCBL - Université Claude Bernard Lyon 1 - Université de Lyon - UJM - Université Jean Monnet - Saint-Étienne - CNRS - Centre National de la Recherche Scientifique)

Abstract

The paper investigates whether the tertiarisation and the rapid urbanisation faced by developing countries favour agglomeration economies. Focusing on Ecuadorian cantons, a productivity equation is estimated using the GMM model with instruments controlling for endogeneity. The varying impact of industrial concentration, diversity, competition and density across industries is investigated and for the first time, the implication of the level of urbanisation on agglomeration externalities is studied. Stronger effects are found for services. The threshold of urbanisation at which diversity, density and competition agglomeration externalities all generate positive effects was 33% while they seem challenged by congestion in highly urbanised cantons.

Suggested Citation

  • Carolina Guevara & Stéphane Riou & Corinne Autant-Bernard, 2019. "Agglomeration externalities in Ecuador. Do urbanisation and tertiarisation matter?," Post-Print halshs-01887012, HAL.
    • Handle: RePEc:hal:journl:halshs-01887012
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    Cited by:

    1. Katarzyna Kopczewska & Mateusz Kopyt & Piotr Ćwiakowski, 2021. "Spatial Interactions in Business and Housing Location Models," Land, MDPI, vol. 10(12), pages 1-25, December.
    2. Chong Wang & Lei Wang, 2024. "State‐led urbanization and technological innovation: A quasi‐natural experiment from county‐to‐district conversion in China," Growth and Change, Wiley Blackwell, vol. 55(2), June.
    3. Maria Bernedo Del Carpio & Carlianne Patrick, 2021. "Agglomeration and informality: Evidence from Peruvian establishments," Journal of Regional Science, Wiley Blackwell, vol. 61(2), pages 442-471, March.
    4. Roberto Zurita & Víctor Morales-Oñate, 2025. "Spillover effects of public capital stock: A case study for Ecuador," REGION, European Regional Science Association, vol. 12, pages 1-18.
    5. Nejib Chagour & Samia Haddad & Sébastien Bourdin, 2023. "The decline in private manufacturing employment in Tunisia: analysis of the Tunisian littoral over the post-revolution period (2011-2016) [Le recul de l'emploi manufacturier privé en Tunisie: analyse de la région du littoral sur la période post-ré," Post-Print hal-04434030, HAL.
    6. 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.
    7. 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.
    8. Nelunika Priyashani & Nayomi Kankanamge & Tan Yigitcanlar, 2023. "Multisource Open Geospatial Big Data Fusion: Application of the Method to Demarcate Urban Agglomeration Footprints," Land, MDPI, vol. 12(2), pages 1-23, February.
    9. Lingjun Guo & Yanran Liu, 2022. "Urban-Industrial Development and Regional Economic Growth in a Developing Country: A Spatial Econometric Approach," SAGE Open, , vol. 12(2), pages 21582440221, June.

    More about this item

    Keywords

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    JEL classification:

    • O54 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Latin America; Caribbean
    • L80 - Industrial Organization - - Industry Studies: Services - - - General
    • O18 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure
    • L60 - Industrial Organization - - Industry Studies: Manufacturing - - - General

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