What Explains the Location of Industry in Britain, 1871-1931

Nicholas Crafts () and Abay Mulatu ()

No 4356, CEPR Discussion Papers from C.E.P.R. Discussion Papers

Abstract: Where transport costs were falling, were the new economic geography forces for industry agglomeration and dispersion at work in the movement of industry in pre-1931 Britain? This Paper examines the issue empirically using a general model that nests the Heckscher-Ohlin factor endowment with new economic geography models. The evidence suggests that while the former mainly drove the location of pre-1931 British industry, the scale economies aspect of the latter also played a role.

Keywords: agglomeration economies; british manufacturing; industry location; transport costs (search for similar items in EconPapers)
JEL-codes: N23 O18 O52 (search for similar items in EconPapers)
Date: 2004-04
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