[go: up one dir, main page]
IDEAS home Printed from https://ideas.repec.org/p/urv/wpaper/2072-1772.html
   My bibliography  Save this paper

Firm Size and Geographical Aggregation: An Empirical Appraisal in Industrial Location

Author

Listed:
  • Arauzo Carod, Josep Maria
  • Manjón Antolín, Miguel C.
Abstract
This paper assesses empirically the importance of size discrimination and disaggregate data for deciding where to locate a start-up concern. We compare three econometric specifications using Catalan data: a multinomial logit with 4 and 41 alternatives (provinces and comarques, respectively) in which firm size is the main covariate; a conditional logit with 4 and 41 alternatives including attributes of the sites as well as size-site interactions; and a Poisson model on the comarques and the full spatial choice set (942 municipalities) with site-specific variables. Our results suggest that if these two issues are ignored, conclusions may be misleading. We provide evidence that large and small firms behave differently and conclude that Catalan firms tend to choose between comarques rather than between municipalities. Moreover, labour-intensive firms seem more likely to be located in the city of Barcelona. Keywords: Catalonia, industrial location, multinomial response model. JEL: C250, E30, R00, R12

Suggested Citation

  • Arauzo Carod, Josep Maria & Manjón Antolín, Miguel C., 2001. "Firm Size and Geographical Aggregation: An Empirical Appraisal in Industrial Location," Working Papers 2072/1772, Universitat Rovira i Virgili, Department of Economics.
    • Handle: RePEc:urv:wpaper:2072/1772
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/2072/1772
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Bartik, Timothy J, 1985. "Business Location Decisions in the United States: Estimates of the Effects of Unionization, Taxes, and Other Characteristics of States," Journal of Business & Economic Statistics, American Statistical Association, vol. 3(1), pages 14-22, January.
    2. Coughlin, Cletus C & Terza, Joseph V & Arromdee, Vachira, 1991. "State Characteristics and the Location of Foreign Direct Investment within the United States," The Review of Economics and Statistics, MIT Press, vol. 73(4), pages 675-683, November.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Bergman, Mats A. & Johansson, Per & Bergman, M.A., 2002. "Large investments in the pulp and paper industry: a count data regression analysis," Journal of Forest Economics, Elsevier, vol. 8(1), pages 29-52.
    2. Jason P. Brown & Raymond J.G.M. Florax & Kevin T. McNamara, 2009. "Determinants Of Investme??T Flows In U.S. Manufacturing," Working Papers 09-10, Purdue University, College of Agriculture, Department of Agricultural Economics.
    3. Niklas Elert, 2014. "What determines entry? Evidence from Sweden," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 53(1), pages 55-92, August.
    4. Lambert, D.M. & Wilcox, M. & English, A. & Stewart, L., 2008. "Ethanol Plant Location Determinants and County Comparative Advantage," Journal of Agricultural and Applied Economics, Cambridge University Press, vol. 40(1), pages 117-135, April.
    5. repec:rre:publsh:v:36:y:2006:i:2:p:140-62 is not listed on IDEAS
    6. Jean-Louis Mucchielli & Florence Puech, 2003. "Internationalisation et localisation des firmes multinationales : l'exemple des entreprises françaises en Europe," Économie et Statistique, Programme National Persée, vol. 363(1), pages 129-144.
    7. Angels Pelegrín Solé, 2004. "Regional distribution of foreign manufacturing investment in Spain. Do agglomeration economies matter?," ERSA conference papers ersa04p682, European Regional Science Association.
    8. Head, Keith & Ries, John & Swenson, Deborah, 1995. "Agglomeration benefits and location choice: Evidence from Japanese manufacturing investments in the United States," Journal of International Economics, Elsevier, vol. 38(3-4), pages 223-247, May.
    9. Josep‐Maria Arauzo‐Carod, 2008. "Industrial Location At A Local Level: Comments On The Territorial Level Of The Analysis," Tijdschrift voor Economische en Sociale Geografie, Royal Dutch Geographical Society KNAG, vol. 99(2), pages 193-208, April.
    10. Fabienne Boudier‐Bensebaa, 2005. "Agglomeration economies and location choice: Foreign direct investment in Hungary," The Economics of Transition, The European Bank for Reconstruction and Development, vol. 13(4), pages 605-628, October.
    11. Timothy J. Bartik, "undated". "Discussion [of the Effects of State and Local Public Services on Economic Development by Ronald C. Fisher]," Upjohn Working Papers tjb1997, W.E. Upjohn Institute for Employment Research.
    12. de Bartolome, Charles A. M. & Spiegel, Mark M., 1997. "Does State Economic Development Spending Increase Manufacturing Employment?," Journal of Urban Economics, Elsevier, vol. 41(2), pages 153-175, March.
    13. Henderson, Jason R. & McNamara, Kevin T., 2000. "The Location Of Food Manufacturing Plant Investments In Corn Belt Counties," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 25(2), pages 1-18, December.
    14. Xavier Giroud & Joshua Rauh, 2017. "State Taxation and the Reallocation of Business Activity: Evidence from Establishment-Level Data," Working Papers 17-02, Center for Economic Studies, U.S. Census Bureau.
    15. Taichi Mutoh & Koji Kotani & Makoto Kakinaka, 2020. "An overseas business paradox: Are Japanese general contractors risk takers?," PLOS ONE, Public Library of Science, vol. 15(9), pages 1-26, September.
    16. Braunerhjelm, Pontus & Thulin, Per, 2005. "The trade-off between agglomeration forces and relative costs: EU versus the “world” Evidence from firm-level location data 1974-1998," Working Paper Series in Economics and Institutions of Innovation 30, Royal Institute of Technology, CESIS - Centre of Excellence for Science and Innovation Studies.
    17. Pontus Braunerhjelm & Per Thulin, 2009. "Agglomeration, Relative Wage Costs and Foreign Direct Investment—Evidence from Swedish MNCs 1974–1998," Journal of Industry, Competition and Trade, Springer, vol. 9(3), pages 197-217, September.
    18. Laura Resmini, 2014. "Patterns of FDI in Southern European Periphery: a Tale of Missing FDI?," ERSA conference papers ersa14p543, European Regional Science Association.
    19. Beem, Richard & Bruce, Donald, 2021. "Failure to launch: Measuring the impact of sales tax nexus standards on business activity," Journal of Public Economics, Elsevier, vol. 201(C).
    20. Hines, James R, Jr, 1996. "Altered States: Taxes and the Location of Foreign Direct Investment in America," American Economic Review, American Economic Association, vol. 86(5), pages 1076-1094, December.
    21. repec:zbw:rwirep:0100 is not listed on IDEAS
    22. Ulgado, Francis M., 1997. "Location decision-making characteristics of foreign direct investment in the United States," International Business Review, Elsevier, vol. 6(3), pages 271-293, June.

    More about this item

    Keywords

    Localització industrial; Models economètrics; Catalunya;
    All these keywords.

    JEL classification:

    • E30 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - General (includes Measurement and Data)
    • R00 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General - - - General
    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:urv:wpaper:2072/1772. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Ariadna Casals (email available below). General contact details of provider: https://edirc.repec.org/data/deurves.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.