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An Analysis of the Geographic Concentration of Industry in Spain

Olga Alonso-Villar, José-María Chamorro-Rivas and Xulia González ()

No 105, Working Papers from Universidade de Vigo, Departamento de Economía Aplicada

Abstract: This paper seeks to analyse the extent of geographic concentration in Spanish industry. To that end the concentration index derived from a model of industrial localisation proposed in Maurel & Sédillot (1999) is used, and a comparison is made with other indices used in literature. Starting from the model proposed, an in-depth sectorial and geographic study is made of the spillovers generated by proximity between businesses. The data used are taken from the Encuesta Industrial de Empresas (Industrial Survey of Businesses) and cover the period from 1993 to 1999. The results confirm that there is major geographic concentration in a number of industries with widely varying characteristics, including high-tech businesses and those linked to the provision of natural resources as well as traditional industries. It is also observed that for most sectors spillovers between companies go beyond the provincial level, and that in some cases those spillovers affect not just businesses in the same sector but also those in related sectors

Keywords: geographic concentration; spillovers; industry (search for similar items in EconPapers)
Pages: 36 pages
Date: 2001-05
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