Endogenous local labour markets, regional aggregation and agglomeration economies

Dynamic analysis of sectorial specialization and agglomeration economies in the Sicilian Local Labour Systems

Local Labour Systems (LLS) are locations in which places of work and residence come together, made up of two or more towns and have no relations with administration zones. They represent the result of the spatial aggregation of neighbouring municipalities based on the daily commuting flows of local population owing to work reasons. LLS can be thus described as self-contained economic-territoria...

Immigration and Displacement Across Local Labour Markets

This paper investigates the impact of contemporary flows of immigrants on internal movements of natives and earlier immigrants across the local authorities of England and Wales. To analyse the impact of immigration, a theoretical framework where natives and immigrants are imperfect substitutes is adopted. The econometric analysis, based on the instrumental variable approach proposed by Card (20...

Problems with regional production functions and estimates of agglomeration economies: A caveat emptor for regional scientists

Location Strategies for Agglomeration Economies

Geographically concentrated industry activity creates pools of skilled labor and specialized suppliers, and increases opportunities for knowledge spillovers. The strategic value of these agglomeration economies may vary by firm, depending upon the relative value of each economy, and upon firm and agglomeration economy traits. To better determine when a firm will be attracted to agglomeration ec...

Agglomeration and networks in spatial economies

We consider the parallel developments in the economics of agglomeration and the economics of networks. We explore the complementarities between the productivity benefits of agglomeration and those of network linkages, arguing that networks of actors dispersed over space may substitute for agglomerations of actors at a single point. JEL classification: D20, L14, R30