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Cluster or Capture? Manufacturing Foreign Direct Investment, External Economies and Agglomeration

✍ Scribed by Phelps, N. A.

Book ID
126283294
Publisher
Taylor and Francis Group
Year
2008
Tongue
English
Weight
327 KB
Volume
42
Category
Article
ISSN
0034-3404

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An overlooked aspect of agglomeration economies, which are positive externalities that stem from the geographic clustering of industry, is that firms contribute to the externality in addition to benefiting from the externality. This insight suggests that if firms are heterogeneous they will differ i