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Cities export specialization

Author

Listed:
  • Díaz-Lanchas, Jorge

    () (Departamento de Análisis Económico (Teoría e Historia Económica). Universidad Autónoma de Madrid.)

  • Llano, Carlos

    () (Departamento de Análisis Económico (Teoría e Historia Económica). Universidad Autónoma de Madrid.)

  • Minondo, Asier

    () (Deusto Business School, University of Deusto.)

  • Requena, Francisco

    () (Universitat de Valencia. Departamento de Estructura Economica.)

Abstract

Do large and small cities exhibit different patterns of export specialization? Using highly disaggregated product-level trade data for Brazilian cities in year 2013, we find that more populated urban areas export proportionately more complex and skill-intensive goods than less populated urban areas. We also show that Brazilian urban areas that have increased more in population have also augmented more than proportionately the exports of complex and skill-intensive goods. Our empirical findings support recent models which argue that large cities attract more skilled workers and exhibit a wide range of capabilities, providing them a comparative advantage in skill-intensive and complex goods.

Suggested Citation

  • Díaz-Lanchas, Jorge & Llano, Carlos & Minondo, Asier & Requena, Francisco, 2016. "Cities export specialization," Working Papers in Economic Theory 2016/04, Universidad Autónoma de Madrid (Spain), Department of Economic Analysis (Economic Theory and Economic History).
  • Handle: RePEc:uam:wpaper:201604
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    File URL: http://www.uam.es/departamentos/economicas/analecon/especifica/mimeo/wp20164.pdf
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    References listed on IDEAS

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    More about this item

    Keywords

    urban areas; exports; complexity; skills; comparative advantage; Brazil;

    JEL classification:

    • F11 - International Economics - - Trade - - - Neoclassical Models of Trade
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)

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