Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/248768 
Year of Publication: 
2021
Series/Report no.: 
Tinbergen Institute Discussion Paper No. TI 2021-084/VIII
Publisher: 
Tinbergen Institute, Amsterdam and Rotterdam
Abstract: 
We consider whether external urban economic advantages (agglomeration economies) vary with time and space using a simple economic model and detailed micro-data on 134 locations in New Zealand for the period 1976-2018. We find subtle temporal variation, with estimates peaking in 1991 and then falling over the next 15-years by approximately 1%. Since 2006, however, estimates have remained broadly stable. Our results reveal more significant spatial variation: Large cities offer net benefits in production, but not in consumption, whereas small locations close to large cities ("satellites") experience agglomeration economies that are stronger than average.
Subjects: 
agglomeration economies
cities
productivity
consumption
New Zealand
JEL: 
R11
R23
R30
Document Type: 
Working Paper

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