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How do firms agglomerate? A study of FDI in france

Matthieu Crozet (), Thierry Mayer () and Jean-Louis Mucchielli

Sciences Po publications from Sciences Po

Abstract: This paper studies the determinants of location choice by foreign investors in France using a sample of almost 4000 foreign investments over 10 years and 92 locations. Concerning agglomeration effects, we find very strong evidence of positive spillovers between firms, and identify detailed patterns of clustering, assessing, for instance, the countries of origin and the industries for which those spillovers are the most substantial. Concerning regional policies, we find very little evidence of any positive impact. Finally, we identify a ‘learning process’ of FDI, the location decisions becoming more remote from the country of origin during the period we study.

Date: 2004
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Published in Regional science and urban economics , 2004, pp.27-54

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Related works:
Journal Article: How do firms agglomerate? A study of FDI in France (2004) Downloads
Working Paper: How do firms Agglomerate? A Study of FDI in France (2004)
Working Paper: How do firms agglomerate? A study of FDI in france (2004) Downloads
Working Paper: How do Firms Agglomerate? A Study of FDI in France (2003) Downloads
Working Paper: How Do Firms Agglomerate? A Study of FDI in France? (2000)
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