Spatial agglomeration, global value chains, and productivity: micro-evidence from Italy and Spain

Giulio Cainelli, Roberto Ganau and Anna Giunta

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

Abstract: We investigate the relationship between spatial agglomeration and firms’ labor productivity in Italy and Spain, examining firm-level heterogeneity in Global Value Chain positioning. We analyze a sample of 4, 025 manufacturing firms during the period from 2010 to 2014 and employ a shift-share instrumental variable approach. We find that agglomeration has a positive effect on labor productivity for suppliers but not for final firms.

Keywords: Agglomeration; Firm Productivity; Global Value Chain; Italy; Spain (search for similar items in EconPapers)
JEL-codes: D24 L23 R12 (search for similar items in EconPapers)
Date: 2018-05-09
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Citations: View citations in EconPapers (12)

Published in Economics Letters, 9, May, 2018, 169, pp. 43-46. ISSN: 0165-1765

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Related works:
Journal Article: Spatial agglomeration, Global Value Chains, and productivity. Micro-evidence from Italy and Spain (2018)
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Persistent link: https://EconPapers.repec.org/RePEc:ehl:lserod:87912

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