This paper focuses on the pre-establishment period of start-ups in industrial districts. The industrial architecture is what I call a "rationed agglomeration" in which some entrepreneurs gather around an established firm while other entrepreneurs in the same business stand alone. In a rationed...

This paper considers a region in which some would-be entrepreneurs are in the network of a hub firm and the rest stand alone. Project ideas come in two types: good and not-so-good. Entrepreneurs need to borrow from banks or local financiers to start their projects. Local financiers receive a...