IDEAS home Printed from https://ideas.repec.org/p/nst/samfok/11111.html
   My bibliography  Save this paper

Migration and dynamic agglomeration economies: Regional income growth in Norway

Author

Listed:
  • Jørn Rattsø

    (Department of Economics, Norwegian University of Science and Technology)

  • Hildegunn E. Stokke

    (Department of Economics, Norwegian University of Science and Technology)

Abstract

The existence of agglomeration economies is well established. We study dynamic agglomeration effects and expect regional income divergence when people move from the periphery to cities. We use distribution analysis, Kernel density functions and first order Markov chains, to investigate whether data from Norwegian regions 1972-2008 with strong urbanization are consistent with agglomeration effects. The analysis shows overall income convergence, contrary to the hypothesis of agglomeration economies. Regions with large increases in population do not show systematic higher income growth. The probabilities of moving up and down the income distribution are independent of the migration pattern. We conclude that strong dynamic agglomeration effects linked to inmigration are inconsistent with the data.

Suggested Citation

  • Jørn Rattsø & Hildegunn E. Stokke, 2011. "Migration and dynamic agglomeration economies: Regional income growth in Norway," Working Paper Series 11111, Department of Economics, Norwegian University of Science and Technology.
    • Handle: RePEc:nst:samfok:11111
    as

    Download full text from publisher

    File URL: http://www.svt.ntnu.no/iso/WP/2011/2_jrhs_agglo_010211.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Pierre‐Philippe Combes & Gilles Duranton & Laurent Gobillon & Diego Puga & Sébastien Roux, 2012. "The Productivity Advantages of Large Cities: Distinguishing Agglomeration From Firm Selection," Econometrica, Econometric Society, vol. 80(6), pages 2543-2594, November.
    2. de la Fuente, Angel, 2002. "On the sources of convergence: A close look at the Spanish regions," European Economic Review, Elsevier, vol. 46(3), pages 569-599, March.
    3. Combes, Pierre-Philippe & Duranton, Gilles & Gobillon, Laurent, 2008. "Spatial wage disparities: Sorting matters!," Journal of Urban Economics, Elsevier, vol. 63(2), pages 723-742, March.
    4. Stein Østbye & Olle Westerlund, 2007. "Is Migration Important for Regional Convergence? Comparative Evidence for Norwegian and Swedish Counties, 1980-2000," Regional Studies, Taylor & Francis Journals, vol. 41(7), pages 901-915.
    5. Pierre-Philippe Combes, 2011. "The empirics of economic geography: how to draw policy implications?," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 147(3), pages 567-592, September.
    6. Jørn Rattsø & Hildegunn E. Stokke, 2011. "Accumulation of education and regional income growth: Limited human capital effects in Norway," Working Paper Series 11211, Department of Economics, Norwegian University of Science and Technology.
    7. Joern Rattsoe & Hildegunn Ekroll Stokke, 2009. "Regional income convergence, skilled migration and productivity response: Explaining relative stagnation in the periphery," Working Paper Series 9809, Department of Economics, Norwegian University of Science and Technology.
    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. Agarwalla, Astha, 2011. "Agglomeration Economies and Productivity Growth in India," IIMA Working Papers WP2011-01-08, Indian Institute of Management Ahmedabad, Research and Publication Department.
    2. Jørn Rattsø & Hildegunn E. Stokke, 2011. "Accumulation of education and regional income growth: Limited human capital effects in Norway," Working Paper Series 11211, Department of Economics, Norwegian University of Science and Technology.
    3. Sevil Acar & Burhan Can Karahasan, 2015. "Uncovering Norway’s regional disparities with respect to natural riches," REGION, European Regional Science Association, vol. 2, pages 1-31.
    4. Bonomi Barufi, Ana Maria & Amaral Haddad, Eduardo & Nijkamp, Peter, 2016. "Should I Stay or Should I Go? Selection on Migration and Learning in Cities in Brazil," TD NEREUS 1-2016, Núcleo de Economia Regional e Urbana da Universidade de São Paulo (NEREUS).
    5. Hildegunn Stokke & Jørn Rattsø & Fredrik Carlsen, 2012. "Urban wage premium increasing with education level: Identification of agglomeration effects for Norway," ERSA conference papers ersa12p459, European Regional Science Association.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Elena Vakulenko, 2016. "Does migration lead to regional convergence in Russia?," International Journal of Economic Policy in Emerging Economies, Inderscience Enterprises Ltd, vol. 9(1), pages 1-25.
    2. Combes, Pierre-Philippe & Gobillon, Laurent, 2015. "The Empirics of Agglomeration Economies," Handbook of Regional and Urban Economics, in: Gilles Duranton & J. V. Henderson & William C. Strange (ed.), Handbook of Regional and Urban Economics, edition 1, volume 5, chapter 0, pages 247-348, Elsevier.
    3. Breinlich, Holger & Ottaviano, Gianmarco I.P. & Temple, Jonathan R.W., 2014. "Regional Growth and Regional Decline," Handbook of Economic Growth, in: Philippe Aghion & Steven Durlauf (ed.), Handbook of Economic Growth, edition 1, volume 2, chapter 4, pages 683-779, Elsevier.
    4. repec:hal:spmain:info:hdl:2441/1kv8mtgl748r0ahh12air9erdc is not listed on IDEAS
    5. repec:esx:essedp:729 is not listed on IDEAS
    6. Hildegunn Stokke & Jörn Rattsö, 2011. "Income convergence, migration and geography: Distribution analysis of regions in Norway," ERSA conference papers ersa10p174, European Regional Science Association.
    7. Jørn Rattsø & Hildegunn E. Stokke, 2011. "Accumulation of education and regional income growth: Limited human capital effects in Norway," Working Paper Series 11211, Department of Economics, Norwegian University of Science and Technology.
    8. Stephen J. Redding, 2010. "The Empirics Of New Economic Geography," Journal of Regional Science, Wiley Blackwell, vol. 50(1), pages 297-311, February.
    9. Mion, Giordano & Jacob, Nick, 2020. "On the productivity advantage of cities," CEPR Discussion Papers 14644, C.E.P.R. Discussion Papers.
    10. Flora Bellone & Patrick Musso & Lionel Nesta & Frederic Warzynski, 2016. "International trade and firm-level markups when location and quality matter," Journal of Economic Geography, Oxford University Press, vol. 16(1), pages 67-91.
    11. Duranton, Gilles & Puga, Diego, 2014. "The Growth of Cities," Handbook of Economic Growth, in: Philippe Aghion & Steven Durlauf (ed.), Handbook of Economic Growth, edition 1, volume 2, chapter 5, pages 781-853, Elsevier.
    12. Martin, Philippe & Mayer, Thierry & Mayneris, Florian, 2011. "Spatial concentration and plant-level productivity in France," Journal of Urban Economics, Elsevier, vol. 69(2), pages 182-195, March.
    13. Jordy Meekes & Wolter H. J. Hassink, 2023. "Endogenous local labour markets, regional aggregation and agglomeration economies," Regional Studies, Taylor & Francis Journals, vol. 57(1), pages 13-25, January.
    14. Hisamitsu Saito, 2015. "Firm Heterogeneity, Multiplant Choice, And Agglomeration," Journal of Regional Science, Wiley Blackwell, vol. 55(4), pages 540-559, September.
    15. Marion Drut & Aurélie Mahieux, 2014. "Correcting agglomeration economies: How air pollution matters," Working Papers hal-01007019, HAL.
    16. Pierre-Philippe Combes & Gilles Duranton & Laurent Gobillon, 2012. "The Cost of Agglomeration: Land Prices in Cities," Sciences Po publications 9240, Sciences Po.
    17. Thisse, Jacques-François & Proost, Stef, 2015. "Skilled Cities, Regional Disparities, and Efficient Transport: The state of the art and a research agenda," CEPR Discussion Papers 10790, C.E.P.R. Discussion Papers.
    18. SAITO Hisamitsu & MATSUURA Toshiyuki, 2016. "Agglomeration Economies, Productivity, and Quality Upgrading," Discussion papers 16085, Research Institute of Economy, Trade and Industry (RIETI).
    19. Farid Farrokhi, 2019. "Skill, Agglomeration, and Inequality in the Spatial Economy," 2019 Meeting Papers 357, Society for Economic Dynamics.
    20. Ahlfeldt, Gabriel M. & Pietrostefani, Elisabetta, 2019. "The economic effects of density: A synthesis," Journal of Urban Economics, Elsevier, vol. 111(C), pages 93-107.
    21. Félix Modrego & Miguel Atienza & Leónidas Hernández, 2024. "Agglomeration factors and the geography of growing early‐stage businesses in Chile," Growth and Change, Wiley Blackwell, vol. 55(1), March.
    22. Hanlon, W. Walker & Miscio, Antonio, 2017. "Agglomeration: A long-run panel data approach," Journal of Urban Economics, Elsevier, vol. 99(C), pages 1-14.

    More about this item

    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:nst:samfok:11111. See general information about how to correct material in RePEc.

    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 bibliographic 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.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Anne Larsen (email available below). General contact details of provider: https://edirc.repec.org/data/isontno.html .

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

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.