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Effects of Ownership on Agglomeration Economies: Evidence from Ukrainian Firm Level Data

Author

Listed:
  • Volodymyr Vakhitov

    () (Kyiv School of Economics, Kyiv Economics Institute)

  • Chris Bollinger

    (University of Kentucky)

Abstract

We use establishment level longitudinal data to estimate agglomeration economies in the Ukraine for machine manufacturing and hi-tech industries. We differentiate state-owned, private-domestic-owned and private-internationally-owned firm types. Our baseline results are comparable to other firm level measures of similar industries and to other research in the former Soviet Union. We find that state owned firms accrue little or no agglomeration benefits, while privately-owned firms are able to take advantage of agglomeration effects. Foreign-owned firms may gain the most from agglomeration. These results suggest that agglomeration economies are typically gained at the management level.

Suggested Citation

  • Volodymyr Vakhitov & Chris Bollinger, 2010. "Effects of Ownership on Agglomeration Economies: Evidence from Ukrainian Firm Level Data," Discussion Papers 24, Kyiv School of Economics.
  • Handle: RePEc:kse:dpaper:24
    Note: Submitted to the Journal of Urban Economics
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    File URL: http://repec.kse.org.ua/pdf/KSE_dp24.pdf
    File Function: May 2010
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    Cited by:

    1. Davidson Natalia & Kislyak Nadezhda & Vorobyev Pavel, 2010. "Spatial Ă‘oncentration and Firm Performance in Russia," EERC Working Paper Series 10/05e, EERC Research Network, Russia and CIS.

    More about this item

    Keywords

    Agglomeration; Localization Economies; Ownership Structure; Transition; Production Function;

    JEL classification:

    • O1 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development
    • P2 - Economic Systems - - Socialist Systems and Transition Economies
    • R1 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics
    • R3 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Real Estate Markets, Spatial Production Analysis, and Firm Location

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