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Agglomeration by export destination: evidence from Spain

Roberto Ramos () and Enrique Moral-Benito ()

Journal of Economic Geography, 2018, vol. 18, issue 3, 599-625

Abstract: We use a dataset of Spanish exporters with rich spatial information to document the existence of agglomeration economies by export destination. More specifically, we show that, for a large set of export destinations, exporters are geographically too close to be the result of a random outcome. We also analyze the variables that explain the cross-destination heterogeneity in agglomeration. We find that firms selling to countries with worse institutions, a dissimilar language and a different currency are significantly more agglomerated. These results suggest that the value provided by agglomeration is higher concerning destinations where entry is more difficult.

Keywords: Agglomeration economies; export firms; international trade (search for similar items in EconPapers)
JEL-codes: D22 F14 R12 (search for similar items in EconPapers)
Date: 2018
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