IDEAS home Printed from https://ideas.repec.org/p/zbw/ifwkwp/1276.html
   My bibliography  Save this paper

Disproportionality measures of concentration, specialization, and polarization

Author

Listed:
  • Bickenbach, Frank
  • Bode, Eckhardt

Abstract

The paper extends the methodological toolbox of measures of industrial concentration and regional specialization. First, a taxonomy is proposed which gives rise to a modular construction system for disproportionality measures based on three characteristic features: the projection function, the reference distribution, and the weighting scheme. The taxonomy helps reduce the mismatch between research purpose, data and statistical measure which has been one of the major obstacles to reliable inferences in the literature. Second, the taxonomy is extended (i) to measures of polarization which evaluate specialization and concentration simultaneously and allow for a nested analysis at different spatial and industrial scales, and (ii) to spatial concentration measures which deal with the checkerboard problem and MAUP by taking into account information from neighboring regions.

Suggested Citation

  • Bickenbach, Frank & Bode, Eckhardt, 2006. "Disproportionality measures of concentration, specialization, and polarization," Kiel Working Papers 1276, Kiel Institute for the World Economy (IfW Kiel).
    • Handle: RePEc:zbw:ifwkwp:1276
    as

    Download full text from publisher

    File URL: https://www.econstor.eu/bitstream/10419/3817/1/kap1276.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Karl Aiginger & Stephen W. Davies, 2004. "Industrial specialisation and geographic concentration: Two sides of the same coin? Not for the European Union," Journal of Applied Economics, Universidad del CEMA, vol. 7, pages 231-248, November.
    2. Gilles Duranton & Henry G. Overman, 2005. "Testing for Localization Using Micro-Geographic Data," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 72(4), pages 1077-1106.
    3. D. Dohse & C. Krieger-Boden & R. Soltwedel, 2002. "EMU and Regional Labor Market Disparities in Euroland," Advances in Spatial Science, in: Juan R. Cuadrado-Roura & Martí Parellada (ed.), Regional Convergence in the European Union, chapter 15, pages 339-352, Springer.
    4. Haaland, J.I. & Kind, H.J. & knarvik, K.H.M. & Torstensson, J., 1998. "What Determines the Economic Geography of Europe?," Papers 19/98, Norwegian School of Economics and Business Administration-.
    5. Ellison, Glenn & Glaeser, Edward L, 1997. "Geographic Concentration in U.S. Manufacturing Industries: A Dartboard Approach," Journal of Political Economy, University of Chicago Press, vol. 105(5), pages 889-927, October.
    6. Combes, Pierre-Philippe & Overman, Henry G., 2004. "The spatial distribution of economic activities in the European Union," Handbook of Regional and Urban Economics, in: J. V. Henderson & J. F. Thisse (ed.), Handbook of Regional and Urban Economics, edition 1, volume 4, chapter 64, pages 2845-2909, Elsevier.
    7. Eric Marcon & Florence Puech, 2003. "Evaluating the Geographic Concentration of Industries Using Distance-Based Methods," Post-Print halshs-00372646, HAL.
    8. Traistaru, Iulia & Nijkamp, Peter & Longhi, Simonetta, 2002. "Regional specialisation and location of industrial activity in accession countries," ERSA conference papers ersa02p136, European Regional Science Association.
    9. Maurel, Francoise & Sedillot, Beatrice, 1999. "A measure of the geographic concentration in french manufacturing industries," Regional Science and Urban Economics, Elsevier, vol. 29(5), pages 575-604, September.
    10. K.H. Midelfart & H.G. Overman & S.J. Redding & A.J. Venables, 2000. "The location of European industry," European Economy - Economic Papers 2008 - 2015 142, Directorate General Economic and Financial Affairs (DG ECFIN), European Commission.
    11. Amiti, Mary, 1998. "New Trade Theories and Industrial Location in the EU: A Survey of Evidence," Oxford Review of Economic Policy, Oxford University Press and Oxford Review of Economic Policy Limited, vol. 14(2), pages 45-53, Summer.
    12. Eric Marcon & Florence Puech, 2003. "Evaluating the Geographic Concentration of Industries Using Distance-Based Methods," Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) halshs-00372646, HAL.
    13. Shujie Yao, 1999. "On the decomposition of Gini coefficients by population class and income source: a spreadsheet approach and application," Applied Economics, Taylor & Francis Journals, vol. 31(10), pages 1249-1264.
    14. N/A, 2006. "Economic Overview," National Institute Economic Review, National Institute of Economic and Social Research, vol. 196(1), pages 2-3, April.
    15. Tomoya Mori & Koji Nishikimi & Tony E. Smith, 2005. "A Divergence Statistic for Industrial Localization," The Review of Economics and Statistics, MIT Press, vol. 87(4), pages 635-651, November.
    16. Traistaru, Iulia & Iara, Anna & Pauna, Carmen, 2002. "Regional structural change and growth in Romania," ERSA conference papers ersa02p330, European Regional Science Association.
    17. Timothy G. Conley & Bill Dupor, 2003. "A Spatial Analysis of Sectoral Complementarity," Journal of Political Economy, University of Chicago Press, vol. 111(2), pages 311-352, April.
    18. Karl Aiginger & Stephen W. Davies, 2004. "Industrial Specialisation and Geographic Concentration: Two Sides of the Same Coin? Not for the European Union," Journal of Applied Economics, Taylor & Francis Journals, vol. 7(2), pages 231-248, November.
    19. Marius Brülhart, 2001. "Evolving geographical concentration of European manufacturing industries," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 137(2), pages 215-243, June.
    20. Eric Marcon & Florence Puech, 2003. "Evaluating the geographic concentration of industries using distance-based methods," Journal of Economic Geography, Oxford University Press, vol. 3(4), pages 409-428, October.
    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. Eleonora CUTRINI, 2006. "The Balassa Index Meets the Dissimilarity Theil Index: a Decomposition Methodology for Location Studies," Working Papers 274, Universita' Politecnica delle Marche (I), Dipartimento di Scienze Economiche e Sociali.
    2. Cutrini, Eleonora, 2009. "Using entropy measures to disentangle regional from national localization patterns," Regional Science and Urban Economics, Elsevier, vol. 39(2), pages 243-250, March.
    3. Christian Haedo & Michel Mouchart, 2022. "Two-mode clustering through profiles of regions and sectors," Empirical Economics, Springer, vol. 63(4), pages 1971-1996, October.
    4. HAEDO, Christian & MOUCHART, Michel, 2012. "A stochastic independence approach for different measures of concentration and specialization," LIDAM Discussion Papers CORE 2012025, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
    5. Haedo, Christian & Mouchart, Michel, 2018. "Automatic biclustering of regions and sectors," LIDAM Discussion Papers ISBA 2018026, Université catholique de Louvain, Institute of Statistics, Biostatistics and Actuarial Sciences (ISBA).
    6. Haedo, Christian & Mouchart, Michel, 2019. "Two-mode clustering through profiles of regions and sectors," LIDAM Discussion Papers ISBA 2019014, Université catholique de Louvain, Institute of Statistics, Biostatistics and Actuarial Sciences (ISBA).
    7. Haedo, Christian & Mouchart, Michel, 2016. "Automatic biclustering of regions and sectors," LIDAM Discussion Papers ISBA 2016042, Université catholique de Louvain, Institute of Statistics, Biostatistics and Actuarial Sciences (ISBA).
    8. Olga Alonso-Villar, 2008. "What are we assuming when using inequality measures to quantify geographic concentration? An axiomatic approach," Working Papers 0801, Universidade de Vigo, Departamento de Economía Aplicada.

    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. Frank Bickenbach & Eckhardt Bode, 2008. "Disproportionality Measures of Concentration, Specialization, and Localization," International Regional Science Review, , vol. 31(4), pages 359-388, October.
    2. Cutrini, Eleonora, 2009. "Using entropy measures to disentangle regional from national localization patterns," Regional Science and Urban Economics, Elsevier, vol. 39(2), pages 243-250, March.
    3. HAEDO, Christian & MOUCHART, Michel, 2012. "A stochastic independence approach for different measures of concentration and specialization," LIDAM Discussion Papers CORE 2012025, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
    4. Maria Dav? & Isidora Barbaccia, 2015. "Measuring agglomeration by spatial effects: a proposal," RIVISTA DI ECONOMIA E STATISTICA DEL TERRITORIO, FrancoAngeli Editore, vol. 2015(1), pages 44-70.
    5. Di Giacinto, Valter & Pagnini, Marcello, 2011. "Local and global agglomeration patterns: Two econometrics-based indicators," Regional Science and Urban Economics, Elsevier, vol. 41(3), pages 266-280, May.
    6. Barlet, M. & Briant, A. & Crusson, L., 2013. "Location patterns of service industries in France: A distance-based approach," Regional Science and Urban Economics, Elsevier, vol. 43(2), pages 338-351.
    7. Valter Di Giacinto & Marcello Pagnini, 2008. "Agglomeration within and between regions: Two econometric based indicators," Temi di discussione (Economic working papers) 674, Bank of Italy, Economic Research and International Relations Area.
    8. Eleonora CUTRINI, 2006. "The Balassa Index Meets the Dissimilarity Theil Index: a Decomposition Methodology for Location Studies," Working Papers 274, Universita' Politecnica delle Marche (I), Dipartimento di Scienze Economiche e Sociali.
    9. William R. Kerr & Scott Duke Kominers, 2015. "Agglomerative Forces and Cluster Shapes," The Review of Economics and Statistics, MIT Press, vol. 97(4), pages 877-899, October.
    10. repec:wsr:wpaper:y:2010:i:062 is not listed on IDEAS
    11. Nakajima, Kentaro & Saito, Yukiko Umeno & Uesugi, Iichiro, 2012. "Measuring economic localization: Evidence from Japanese firm-level data," Journal of the Japanese and International Economies, Elsevier, vol. 26(2), pages 201-220.
    12. Lafourcade, Miren & Mion, Giordano, 2007. "Concentration, agglomeration and the size of plants," Regional Science and Urban Economics, Elsevier, vol. 37(1), pages 46-68, January.
    13. LAFOURCADE, Miren & MION, Giordano, 2003. "Concentration, spatial clustering and the size of plants : disentangling the sources of co-location externalities," LIDAM Discussion Papers CORE 2003091, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
    14. Olga Alonso-Villar, 2011. "Measuring concentration: Lorenz curves and their decompositions," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 47(2), pages 451-475, October.
    15. Eric Marcon & Florence Puech, 2009. "Measures of the Geographic Concentration of Industries: Improving Distance-Based Methods," Working Papers halshs-00372617, HAL.
    16. Trejo Nieto , Alejandra Berenice, 2010. "The geographic concentration in Mexican manufacturing industries, an account of patterns, dynamics and explanations: 1988-2003," INVESTIGACIONES REGIONALES - Journal of REGIONAL RESEARCH, Asociación Española de Ciencia Regional, issue 18, pages 37-60.
    17. Sugam Agarwal & Smruti Ranjan Behera, 2022. "Geographical concentration of knowledge and technology-intensive industries in India: empirical evidence from establishment-level analysis," Indian Economic Review, Springer, vol. 57(2), pages 513-552, December.
    18. Diego Giuliani & Giuseppe Arbia & Giuseppe Espa, 2014. "Weighting Ripley’s K-Function to Account for the Firm Dimension in the Analysis of Spatial Concentration," International Regional Science Review, , vol. 37(3), pages 251-272, July.
    19. Gibbons, Steve & Overman, Henry G. & Patacchini, Eleonora, 2015. "Spatial Methods," 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 115-168, Elsevier.
    20. Ludwig von Auer & Andranik Stepanyan & Mark Trede, 2019. "Classifying industries into types of relative concentration," Journal of the Royal Statistical Society Series A, Royal Statistical Society, vol. 182(3), pages 1017-1037, June.
    21. Natalia Vechiu & Farid Makhlouf, 2014. "Economic integration and specialization in production in the EU27: does FDI influence countries’ specialization?," Empirical Economics, Springer, vol. 46(2), pages 543-572, March.

    More about this item

    Keywords

    Regional specialization; Industrial concentration; Economic polarization; Geographical weighting; statistical measures;
    All these keywords.

    JEL classification:

    • F15 - International Economics - - Trade - - - Economic Integration
    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)
    • C43 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - Index Numbers and Aggregation

    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:zbw:ifwkwp:1276. 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: ZBW - Leibniz Information Centre for Economics (email available below). General contact details of provider: https://edirc.repec.org/data/iwkiede.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.