Mysteries of the Trade? Skill-Specific Local Agglomeration Economies

Martin Andersson and Johan Larsson

No 1352, Working Paper Series from Research Institute of Industrial Economics

Abstract: Using longitudinal Swedish data, we document robust evidence of highly local spillovers between individuals in similar occupations. The results are consistent with the existence of knowledge spillovers between workers performing similar work tasks in the same city-district. We further demonstrate less distance-sensitive benefits of working in diverse districts and regions, characterized by high density of employees in other occupations. The diversity benefits exist only in metropolitan areas and pertain to workers performing advanced services or non-routine work tasks.

Keywords: Agglomeration economies; Wages; Spillovers; Attenuation; Clusters; Economic proximity; Relatedness (search for similar items in EconPapers)
JEL-codes: J24 R10 R12 (search for similar items in EconPapers)
Pages: 26 pages
Date: 2020-08-31
New Economics Papers: this item is included in nep-geo, nep-lma, nep-sbm and nep-ure
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Persistent link: https://EconPapers.repec.org/RePEc:hhs:iuiwop:1352

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