2001/10 LEM Working Paper Series

On the Ubiquitous Nature of the Agglomeration Economies and their Diverse Determinants: Some Notes.
G.Bottazzi, G.Dosi and G.Fagiolo
Agglomeration Economies, Geographical Economics, Locational Choice, Italian Districts.

This highly preliminary work attempts to study the multiple drivers of agglomeration phenomena in contemporary economies. First, we propose a tentative taxonomy of agglomeration drivers in which the conditions of knowledge accumulation play a paramount role. Second, we discuss the achievements and limitations of current theorizing on spatial location of economic activities. Third, we propose a simple model of firm agglomeration which is estimated on Italian data. Econometric results highlight the rich intersectoral diversity of agglomeration forces and their relative strength.

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