1999/06 LEM Working Paper Series

Network Structure and Industrial Dynamics. The long-term evolution of the aircraft-engine industry
 
Bonaccorsi A. and P. Giuri
 
  Keywords
 
industrial dynamics; vertically-related industries; network; industrial concentration; market shares.


  Abstract
 
This paper proposes a new approach to explain the long-term evolution of a supplier industry. The network of vertical relations between suppliers and buyers is identified as a determinant of the concentration of the supplier industry and of the dynamics of market shares. The vertical structure of the industry is captured by collecting information on all vertical relations between dyads of firms and by building matrices of interaction for the aircraft-engine industry from 1953 to 1997. An econometric exercise is used to test some hypotheses about the relation between selected network measures and industrial dynamics.


  Remarks
 
forthcoming in Structural Change and Economic Dynamics


  Downloads
 
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