Labour Productivity in Auckland Firms

David Maré

No 08_12, Working Papers from Motu Economic and Public Policy Research

Abstract: This paper examines labour productivity in Auckland, New Zealand's largest city, using microdata from Statistics New Zealand's Prototype Longitudinal Business Database. It documents a sizeable productivity premium in Auckland, around half of which is due to industry composition. There is a cross sectional correlation between productivity and employment density, reflecting differences in both physical productivity and prices. This correlation is evident both within Auckland, and comparing Auckland with other areas. The relationship between changes in density and changes in productivity is less strong. The relationship between productivity and overall or own-industry employment density varies across industries, suggesting that the nature and extent of agglomeration benefits varies. Overall, localisation effects appear stronger than urbanisation, with productivity being more strongly related to own-industry density than to overall density.

Keywords: Labour productivity; Urban premium; Agglomeration (search for similar items in EconPapers)
JEL-codes: L25 R12 R3 (search for similar items in EconPapers)
Pages: 67 pages
Date: 2008-09
New Economics Papers: this item is included in nep-eff, nep-geo, nep-lab and nep-ure
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (9)

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https://motu-www.motu.org.nz/wpapers/08_12.pdf

Related works:
Working Paper: Labour Productivity in Auckland Firms (2008)
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Persistent link: https://EconPapers.repec.org/RePEc:mtu:wpaper:08_12

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