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Agglomeration-effects in Europe
Ciccone, Antonio
Universitat Pompeu Fabra. Departament d'Economia i Empresa
The paper estimates agglomeration-effects for France, Germany, Italy, Spain, and the UK. Estimation takes into account endogeneity of the spatial distribution ofemployment and spatial fixed-effects. Empirical resultssuggest that agglomeration-effects in these Europeancountries are only slightly smaller than agglomeration-effects in the US: the estimated elasticity of average-labor-productivity with respect to employment-density is 4.5 percent compared to 5 percent in the US.
Macroeconomics and International Economics
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