Sectoral Differences in the Effect of Industrial Agglomeration

Abstract:

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This paper derives related-industry from input-output method, and is the first to apply the result into the study of the externality effect of within-industry agglomeration and related-industry co-agglomeration. As a main form of externality, localization economy can be resolved into within-industry agglomeration and related-industry co- agglomeration, this paper used Input-Output method and principle component analysis to identify related-industry. This paper finds the empirical evidence of within-industry agglomeration and related-industry co-agglomeration, within-industry agglomeration is the main source for labor-intensive industries, and related-industry co-agglomeration is the main source for capital-intensive and high-tech industry industries. This paper also finds that productivity will vary in an "inverted U" shape with the increase of within-industry agglomeration and related-industry co-agglomeration degree. These findings are beneficial for Government to make decisions of industry transfer.

Info:

Periodical:

Advanced Materials Research (Volumes 225-226)

Edited by:

Helen Zhang, Gang Shen and David Jin

Pages:

1192-1195

DOI:

10.4028/www.scientific.net/AMR.225-226.1192

Citation:

J. Yang "Sectoral Differences in the Effect of Industrial Agglomeration", Advanced Materials Research, Vols. 225-226, pp. 1192-1195, 2011

Online since:

April 2011

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Price:

$35.00

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