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Project Citation: 

Ellison, Glenn, Glaeser, Edward L., and Kerr, William R. Replication data for: What Causes Industry Agglomeration? Evidence from Coagglomeration Patterns. Nashville, TN: American Economic Association [publisher], 2010. Ann Arbor, MI: Inter-university Consortium for Political and Social Research [distributor], 2019-10-11. https://doi.org/10.3886/E112350V1

Project Description

Summary:  View help for Summary Why do firms cluster near one another? We test Marshall's theories of industrial agglomeration by examining which industries locate near one another, or coagglomerate. We construct pairwise coagglomeration indices for US manufacturing industries from the Economic Census. We then relate coagglomeration levels to the degree to which industry pairs share goods, labor, or ideas. To reduce reverse causality, where collocation drives input-output linkages or hiring patterns, we use data from UK industries and from US areas where the two industries are not collocated. All three of Marshall's theories of agglomeration are supported, with input-output linkages particularly important. (JEL L14, L60, O33, R23, R32)

Scope of Project

JEL Classification:  View help for JEL Classification
      L14 Transactional Relationships; Contracts and Reputation; Networks
      L60 Industry Studies: Manufacturing: General
      O33 Technological Change: Choices and Consequences; Diffusion Processes
      R23 Urban, Rural, Regional, Real Estate, and Transportation Economics: Regional Migration; Regional Labor Markets; Population; Neighborhood Characteristics
      R32 Other Spatial Production and Pricing Analysis


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