@techreport{Hafner2004Industrial,
abstract = {The paper outlines a static equilibrium model, which analyses the economic development
in a two-country case by considering interregional migration in R&D-sectors. The effects
of migration and firm decisions on both industrial agglomeration and economic development
will be shown: lock-in-effects and free market entry will lead to a concentration of
firms. In addition, the consideration of fundamental and secondary research activity leads to a
higher number of firms and products by means of cost reduction and spillover effects. The
resulting demand of unskilled and skilled labor will be met by sectoral and interregional
migration. This reinforces the concentration of economic activity and leads to a higher degree
of specialization and economic development.
The formation of single equilibria is shown under consideration of exogenous shocks: diminishing
transportation cost will turn economies, originally equally endowed and with the same
economic structure, to spatial concentration and uneven economic development.},
author = {Kurt A. Hafner},
copyright = {http://www.econstor.eu/dspace/Nutzungsbedingungen},
keywords = {R0; O1; D5; 330; Economic geography; Factor mobility; Regional growth theory; R&D; Learning by doing; Spillover effects; Regionale Konzentration; Neue \"{o}konomische Geographie; Faktormobilit\"{a}t; Forschung; Hochtechnologiesektor; Lernprozess; Spillover-Effekt; Entwicklung; Theorie},
language = {eng},
number = {31},
title = {Industrial Agglomeration and Economic Development},
type = {CeGE discussion paper},
url = {http://hdl.handle.net/10419/22158},
year = {2004}
}
