Vertical Industry Linkages: Sources of Productivity Gains and Cumulative Causation?

K.H.M. Knarvik and Frode Steen
Authors registered in the RePEc Author Service: Karen Helene Ulltveit-Moe

Working Papers from Norwegian School of Economics and Business Administration-

Abstract: In this paper we analyse vertical industry linkages and the extent to which these work as channels for externalities. First, activity based externalities stemming from output growth and output level in vertically linked industries are tested for. Second, we aim at revealing the importance of a large home market for upstream industries. Eventually, by comparing results on localised inter-industry externalities as well as significance of local sales linkages, we try to identify to what extent the geographical agglomeration of an industry is self-reinforcing. A number of Norwegian maritime transport and services sectors are analysed. The results are promising in the sense that the model distinguishes empirically between different sources of externalities, and unveils which vertical linkages that give rise to endogenous agglomeration.

Keywords: ECONOMIC GROWTH; PRODUCTIVITY; ECONOMIES OF SCALE (search for similar items in EconPapers)
JEL-codes: C2 L8 O4 R1 (search for similar items in EconPapers)
Pages: 19 pages
Date: 2000
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Citations: View citations in EconPapers (1)

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Related works:
Journal Article: Vertical Industry Linkages: Sources of Productivity Gains and Cumulative Causation? (2002)
Working Paper: Vertical Industry Linkages: Sources Of Productivity Gains And Cumulative Causation (2000)
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