Marshall or Jacobs? Answers to an unsuitable question from an interaction model

Robert Lehmann and Jan Kluge

ERSA conference papers from European Regional Science Association

Abstract: This paper investigates whether localization economies as brought forward by Marshall (1890) or urbanization economies as mentioned by Jacobs (1970) are more decisive for regional gross value added per capita. Our novel approach is to explicitly allow for interdependencies between these two theories and to take into account that the initial levels of specialization and diversification might play a role. We therefore deploy a model with interaction terms and find that these two theories are not mutually exclusive in most of our sectors. In addition, the empirical results show that the initial levels of specialization and diversification do matter as well. Keywords: localization and urbanization economies, interaction models, regional gross valued added JEL Code: C33, O18, O40, R11

Date: 2012-10
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://www-sre.wu.ac.at/ersa/ersaconfs/ersa12/e120821aFinal00375.pdf (application/pdf)

Related works:
Journal Article: Marshall or Jacobs? New insights from an interaction model (2013)
Working Paper: Marshall or Jacobs? Answers to an unsuitable question from an interaction model (2012)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:wiw:wiwrsa:ersa12p373

Access Statistics for this paper

More papers in ERSA conference papers from European Regional Science Association Welthandelsplatz 1, 1020 Vienna, Austria.
Bibliographic data for series maintained by Gunther Maier ().