Template-Type: ReDIF-Paper 1.0
Author-Name: Dario Diodato
Author-Name: Frank Neffke
Author-Email: frank_neffke@hks.harvard.edu
Author-Workplace-Name: Center for International Development at Harvard University
Author-Person: pne139
Author-Name: Neave O'Clery
Author-Workplace-Name: Center for International Development at Harvard University
Title: Agglomeration Economies: The Heterogeneous Contribution of Human Capital and Value Chains
Abstract: We document the heterogeneity across sectors in the impact labor and input-output links have on industry agglomeration. Exploiting the available degrees of freedom in coagglomeration patterns, we estimate the industry-speci c bene fits of sharing labor needs and supply links with local  firms. On aggregate, coagglomeration patterns of services are at least as strongly driven by input-output linkages as those of manufacturing, whereas labor linkages are much more potent drivers of coagglomeration in services than in manufacturing. Moreover, the degree to which labor and input-output linkages are reflected in an industry's coagglomeration patterns is relevant for predicting patterns of city-industry employment growth.
Creation-Date: 2016-08
Classification-JEL: J24, O14, R11
Keywords: Coagglomeration, Marshallian externalities, labor pooling, value chains, manufacturing, services, regional diversi cation
Number: 81
Handle: RePEc:glh:wpfacu:81
File-Url: http://growthlab.cid.harvard.edu/files/growthlab/files/cid_rfwp_76.pdf
File-Format: application/pdf