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The Impact of Aging and Technological Relatedness on Agglomeration Externalities

Author

  • Frank Neffke
  • Martin Henning
  • Ron Boschma

Summary, in English

We study localization, urbanization and Jacobs’ externality effects on plant survival in Sweden (1970–2004). We focus on two questions: (i) do agglomeration externalities change with the age of plants? and (ii) what is the role of technological relatedness among local industries? We find that agglomeration externalities affect survival chances of plants. This effect, however, differs between corporate and non-affiliated plants. Furthermore, we find that Jacobs’ externalities benefit only young plants, whereas urbanization externalities harm plants at all ages. Localization externalities are insignificant, while the local presence of technologically related industries substantially increases survival rates of plants.

Publishing year

2012

Language

English

Pages

485-517

Publication/Series

Journal of Economic Geography

Volume

12

Issue

2

Document type

Journal article

Publisher

Oxford University Press

Topic

  • Human Geography

Keywords

  • agglomeration
  • externalities
  • nursety cities
  • Cox Regression
  • Aalen
  • plant survival
  • Sweden

Status

Published

ISBN/ISSN/Other

  • ISSN: 1468-2702