Endogenous qualifications and firms'agglomeration

Pierre Picard and Eric Toulemonde

No 2002070, LIDAM Discussion Papers CORE from Université catholique de Louvain, Center for Operations Research and Econometrics (CORE)

Abstract: This paper analyzes firms' location when workers endogenously choose to qualify for professional skills but when they remain uncertain about the potential match between their personal abilities and/or affinities and the firms' specific production tasks. By qualifying in a region where firms agglomerate, workers benefit from higher prospects of good match. At the equilibrium, we show that firms may locate in a single cluster, symmetric clusters or even asymmetric clusters. Comparative statics with respect to product market demand and labor supply parameters are provided.

Keywords: qualifications; firms’ location (search for similar items in EconPapers)
JEL-codes: J24 J41 R3 (search for similar items in EconPapers)
Date: 2002-12
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Citations: View citations in EconPapers (5)

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Related works:
Journal Article: Endogenous qualifications and firms' agglomeration (2004)
Working Paper: Endogenous qualifications and firms' agglomeration (2004)
Working Paper: Endogenous Qualifications and Firms' Agglomeration (2001)
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Persistent link: https://EconPapers.repec.org/RePEc:cor:louvco:2002070

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