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Agglomeration Benefits and Location Choice: Evidence from Japanese Manufacturing Investment in the United States / Keith Head, John Ries, Deborah Swenson.
- Format:
- Book
- Author/Creator:
- Head, Keith.
- Series:
- Working Paper Series (National Bureau of Economic Research) no. w4767.
- NBER working paper series no. w4767
- Language:
- English
- Physical Description:
- 1 online resource: illustrations (black and white);
- Other Title:
- Agglomeration Benefits and Location Choice
- Place of Publication:
- Cambridge, Mass. National Bureau of Economic Research 1994.
- Summary:
- Recent theories of economic geography suggest that firms in the same industry may be drawn to the same locations because proximity generates positive externalities or 'agglomeration effects.' Under this view, chance events and government inducements can have a lasting influence on the geographical pattern of manufacturing. However, most evidence on the causes and magnitude of industry localization has been based on stories, rather than statistics. This paper examines the location choices of 751 Japanese manufacturing plants built in the U.S. since 1980. Conditional logit estimates support the hypothesis that industry-level agglomeration benefits play an important role in location decisions.
- Notes:
- Print version record
- June 1994.
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