Arbeitspapier

Modeling industrial evolution in geographical space

In this paper we study a class of evolutionary models of industrial agglomeration with local positive feedbacks, which allow for a wide set of empirically-testable implications. Their roots rest in the Generalized Polya Urn framework. Here, however, we build on a birth-death process over a finite number of locations and a finite population of firms. The process of selection among production sites that are heterogeneous in their intrinsic attractiveness occurs under a regime of dynamic increasing returns depending on the number of firms already present in each location. The general model is presented together with a few examples of small economies which help to illustrate the properties of the model and characterize its asymptotic behavior. Finally, we discuss a number of empirical applications of our theoretical framework. The basic model, once taken to the data, is able to empirically disentangle the relative strength of technologically-specific agglomeration drivers (affecting differently firms belonging to different industrial sectors in each location) from site-specific geographical forces (horizontally acting upon all sectors in each location).

Sprache
Englisch

Erschienen in
Series: LEM Working Paper Series ; No. 2007/06

Klassifikation
Wirtschaft
Thema
Industrial Location
Agglomeration
Dynamic Increasing Returns
Markov Chains
Polya Urns
Industrieregion
Regionales Cluster
Raumwirtschaftstheorie
Evolutionsökonomik
Theorie

Ereignis
Geistige Schöpfung
(wer)
Bottazzi, Giulio
Dosi, Giovanni
Fagiolo, Giorgio
Secchi, Angelo
Ereignis
Veröffentlichung
(wer)
Scuola Superiore Sant'Anna, Laboratory of Economics and Management (LEM)
(wo)
Pisa
(wann)
2007

Handle
Letzte Aktualisierung
10.03.2025, 11:43 MEZ

Datenpartner

Dieses Objekt wird bereitgestellt von:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.

Objekttyp

  • Arbeitspapier

Beteiligte

  • Bottazzi, Giulio
  • Dosi, Giovanni
  • Fagiolo, Giorgio
  • Secchi, Angelo
  • Scuola Superiore Sant'Anna, Laboratory of Economics and Management (LEM)

Entstanden

  • 2007

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