IDEAS home Printed from https://ideas.repec.org/p/hhs/cesisp/0002.html
   My bibliography  Save this paper

Parsing the Menagerie of Agglomeration and Network Externalities

Author

Listed:
  • Johansson, Börje

    () (CESIS - Centre of Excellence for Science and Innovation Studies, Royal Institute of Technology)

Abstract

Externalities have for a long time been perceived as awkward cases that are alien to well-structured economic analyses. During recent decades ideas inherited from Marshall and others have regained interest in the analysis of specialisation and trade, urban formation and growth as well as innovation processes. A variety of contributions has brought about an equally varied set of externalities with labels such as localisation and urbanisation economies, industrial districts, innovative regions. This presentation attempts to bring order to the many ideas about externalities by classifying them with regard to the sources and consequences of the externalities, and to the externality mechanisms. A basic separation is made between those externalities that affect efficiency and those that generate developmen

Suggested Citation

  • Johansson, Börje, 2004. "Parsing the Menagerie of Agglomeration and Network Externalities," Working Paper Series in Economics and Institutions of Innovation 2, Royal Institute of Technology, CESIS - Centre of Excellence for Science and Innovation Studies.
  • Handle: RePEc:hhs:cesisp:0002
    as

    Download full text from publisher

    File URL: https://static.sys.kth.se/itm/wp/cesis/cesiswp02.pdf
    Download Restriction: no

    References listed on IDEAS

    as
    1. Alchian, Armen A & Demsetz, Harold, 1972. "Production , Information Costs, and Economic Organization," American Economic Review, American Economic Association, vol. 62(5), pages 777-795, December.
    2. Andersson, Martin & Karlsson, Charlie, 2002. "The role of accessibility for regional innovation systems," ERSA conference papers ersa02p242, European Regional Science Association.
    3. Belleflamme, Paul & Picard, Pierre & Thisse, Jacques-Francois, 2000. "An Economic Theory of Regional Clusters," Journal of Urban Economics, Elsevier, vol. 48(1), pages 158-184, July.
    4. Jaffe, Adam B, 1989. "Real Effects of Academic Research," American Economic Review, American Economic Association, vol. 79(5), pages 957-970, December.
    5. Roberta Capello, 2002. "Entrepreneurship and spatial externalities: Theory and measurement," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 36(3), pages 387-402.
    6. Stefano Breschi & Francesco Lissoni, 2001. "articles: Localised knowledge spillovers vs. innovative milieux: Knowledge "tacitness" reconsidered," Papers in Regional Science, Springer;Regional Science Association International, vol. 80(3), pages 255-273.
    7. Venables, Anthony J, 1996. "Equilibrium Locations of Vertically Linked Industries," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 37(2), pages 341-359, May.
    8. Johansson, Borje & Westin, Lars, 1994. "Affinities and Frictions of Trade Networks," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 28(3), pages 243-261, September.
    9. Kamien,Morton I. & Schwartz,Nancy L., 1982. "Market Structure and Innovation," Cambridge Books, Cambridge University Press, number 9780521293853.
    10. F. H. Knight, 1924. "Some Fallacies in the Interpretation of Social Cost," The Quarterly Journal of Economics, Oxford University Press, vol. 38(4), pages 582-606.
    11. Baptista, Rui, 2000. "Do innovations diffuse faster within geographical clusters?," International Journal of Industrial Organization, Elsevier, vol. 18(3), pages 515-535, April.
    12. Krugman, Paul R, 1981. "Intraindustry Specialization and the Gains from Trade," Journal of Political Economy, University of Chicago Press, vol. 89(5), pages 959-973, October.
    13. Fujita, Masahisa, 1988. "A monopolistic competition model of spatial agglomeration : Differentiated product approach," Regional Science and Urban Economics, Elsevier, vol. 18(1), pages 87-124, February.
    14. Rui Baptista, 1999. "The Diffusion of Process Innovations: A Selective Review," International Journal of the Economics of Business, Taylor & Francis Journals, vol. 6(1), pages 107-129.
    15. Ethier, Wilfred J, 1982. "National and International Returns to Scale in the Modern Theory of International Trade," American Economic Review, American Economic Association, vol. 72(3), pages 389-405, June.
    16. Nelson, Richard R. & Norman, Victor D., 1977. "Technological change and factor mix over the product cycle : A model of dynamic comparative advantage," Journal of Development Economics, Elsevier, vol. 4(1), pages 3-24, February.
    17. Yarbrough, Beth V. & Yarbrough, Robert M., 1988. "The transactional structure of the firm : A comparative survey," Journal of Economic Behavior & Organization, Elsevier, vol. 10(1), pages 1-28, July.
    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. Borje Johansson & Hans Loof, 2008. "Innovation Activities Explained By Firm Attributes And Location," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 17(6), pages 533-552.
    2. Börje Johansson & Hans Lööf, 2011. "FDI Inflows to Sweden: Consequences for Innovation and Renewal," Chapters,in: New Directions in Regional Economic Development, chapter 14 Edward Elgar Publishing.
    3. Dan Kaufmann & Dafna Schwartz, 2009. "Networking strategies of young biotechnology firms in Israel," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 43(3), pages 599-613, September.
    4. Edward Bergman, 2009. "Embedding network analysis in spatial studies of innovation," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 43(3), pages 559-565, September.
    5. Argentino Pessoa, 2014. "Agglomeration and regional growth policy: externalities versus comparative advantages," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 53(1), pages 1-27, August.
    6. Martin Andersson & Olof Ejermo, 2005. "How does accessibility to knowledge sources affect the innovativeness of corporations?—evidence from Sweden," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 39(4), pages 741-765, December.
    7. Augusto Cerqua & Guido Pellegrini, 2014. "Beyond the SUTVA: how policy evaluations change when we allow for interactions among firms," Working Papers 2/14, Sapienza University of Rome, DISS.
    8. repec:kap:sbusec:v:49:y:2017:i:3:d:10.1007_s11187-017-9855-9 is not listed on IDEAS
    9. Augusto Cerqua & Guido Pellegrini, 2013. "Beyond the SUTVA: how industrial policy evaluations change when we allow for interaction among firms," ERSA conference papers ersa13p340, European Regional Science Association.
    10. Apostolos Baltzopoulos & Anders Broström, 2013. "Attractors of Entrepreneurial Activity: Universities, Regions and Alumni Entrepreneurs," Regional Studies, Taylor & Francis Journals, vol. 47(6), pages 934-949, June.

    More about this item

    Keywords

    Externalities; Networks; Agglomeration; Innovation;

    JEL classification:

    • L11 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Production, Pricing, and Market Structure; Size Distribution of Firms
    • O30 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - General
    • R30 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Real Estate Markets, Spatial Production Analysis, and Firm Location - - - General

    NEP fields

    This paper has been announced in the following NEP Reports:

    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:hhs:cesisp:0002. 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: (Vardan Hovsepyan). General contact details of provider: http://edirc.repec.org/data/cekthse.html .

    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 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.

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

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.