Location of New Industries – The ICT-Sector 1990-2000
The overall purpose of this work is to study the location pattern of new industries and how it changes over time. With this objective as motivation, a set of 27 industries are classified as belonging to the ICT-sector (information and communication technology). The goods and services supplied by these industries were to a large extent new at the end of the 1980s. The paper outlines two interrelated models of vertical externalities to explain the location pattern of the industries in 1990 and 2000. The two externalities concern a firm’s input demand and its output demand. These models are introduced to illustrate how these externalities favour location in the largest functional urban regions. The same models predict that location in smaller regions is facilitated as demand grows, when internal scale economies (start-up costs) are not too strong. The empirical analyses apply a logit model to estimate location probabilities, which depend on the size and the diversity of a region’s econom
|Date of creation:||23 Nov 2004|
|Date of revision:|
|Contact details of provider:|| Postal: CESIS - Centre of Excellence for Science and Innovation Studies, Royal Institute of Technology, SE-100 44 Stockholm, Sweden|
Phone: +46 8 790 95 63
Web page: http://www.infra.kth.se/cesis/
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.:
- Paul M Romer, 1999.
"Endogenous Technological Change,"
Levine's Working Paper Archive
2135, David K. Levine.
- Charlie Karlsson, 1997. "Product development, innovation networks, infrastructure and agglomeration economies," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 31(3), pages 235-258.
When requesting a correction, please mention this item's handle: RePEc:hhs:cesisp:0007. 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)
If references are entirely missing, you can add them using this form.