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Rendements croissants et structure spatiale des salaires en France

Sylvain Barde ()

Revue de l'OFCE, 2008, vol. n° 104, issue 1, 179-201

Abstract: New Economic Geography presents increasing returns to agglomeration as the central explanation behind the concentration of economic activity. Within this framework, returns to scale are caused by a preference for variety in consumption which is better satisfied by agglomeration. The estimation of the size of these effects remains, however, a standing issue in the field. The focus of this study is to investigate the presence of increasing returns to agglomeration in the French spatial structure of wages using the methodology developed in Fingleton (2003) and initially used in the UK. The central finding is the statistically significant presence of such returns to scale for France, of a size comparable to the one found for the UK in the original study. Compared to Fingleton?s original work, a further results show that the results are robust to changes in the specification of the spatial weights matrix, and that taking into account a larger time-dimension leads to an improvement of the significance and the diagnostic tests. JEL classification: C21, R12, R23.

Keywords: spatial econometrics; increasing return (search for similar items in EconPapers)
JEL-codes: C21 R12 R23 (search for similar items in EconPapers)
Date: 2008
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