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Comparative advantage and economic geography: estimating the determinants of industrial location in the EU

Karen Helene Midelfart-Knarvik, Henry Overman and Anthony Venables
Authors registered in the RePEc Author Service: Karen Helene Ulltveit-Moe

LSE Research Online Documents on Economics from London School of Economics and Political Science, LSE Library

Abstract: We develop and econometrically estimate a model of the location of industries across countries. The model combines factor endowments and geographical considerations, and shows how industry and country characteristics interact to determine the location of production. We estimate the model on sectoral data for EU countries over the period 1980-97, and find that endowments of skilled and scientific labour are important determinants of industrial structure, as also are forward and backward linkages to industry.

Keywords: Specialization; comparative advantage; economic geography. JEL classification code: F10 (search for similar items in EconPapers)
JEL-codes: F10 (search for similar items in EconPapers)
Pages: 33 pages
Date: 2001-01
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Citations: View citations in EconPapers (12)

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Persistent link: https://EconPapers.repec.org/RePEc:ehl:lserod:677

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