Increasing Agglomeration or Dispersion? Industrial Specialization and Geographic Concentration in NAFTA

Klimis Vogiatzoglou ()
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Klimis Vogiatzoglou: University of pataras, Postal: University of patras, Department of business Administration, University Campus, 26500 Rio - Patras, Greece.

Journal of Economic Integration, 2006, vol. 21, 379-396

Abstract:

We analyze industrial specialization and geographic concentration patterns within the NAFTA area during 1988-2000 and examine the determinant of spatial concentration. NAFTA countries have become increasingly dissimilar over time. A changing spatial structure of total NAFTA manufacturing is also evident. Manufaturing is increasingly relocating to Mexico, wich comes at the expense of the US. In addition , tere is evidence of a general upward trend in the degree of relative geographic concentration of North-American industries. Labor-intensive and low-technology activities appear to be the most spatially concentrated industries, exhibiting a strong increasing trend. Comparative advantage factors largely explain geographic concentration of industries across NAFTA countries, indicating the empirical relevance of traditional trade theory in the NAFTA case.

Keywords: Specialization; Geographic concentration; Economic integration; NFATA (search for similar items in EconPapers)
JEL-codes: C23 F15 L60 R12 (search for similar items in EconPapers)
Date: 2006
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Citations: View citations in EconPapers (3)

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Persistent link: https://EconPapers.repec.org/RePEc:ris:integr:0361

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