This study considers endogenous determination of domestic standards on products that cause negative consumption externalities in the presence of a preferential trade agreement (PTA) in a three-country world. In particular, we examine how a PTA affects the optimal levels of external tariffs and...

In this paper we present a critical analysis of industrial location policy of the state of Bahia, in the period covered in between 1960s and 2000s, from the perspective of spatial economy. The paper reviews the formulation of the theory of location, through the contributions of its principal...

We study the determinants of agglomeration of Canadian manufacturing industries from 1990 to 2009. In so doing, we revisit the seminal contribution by Rosenthal and Strange (2001, "The determinants of agglomeration", J Urban Econ 50(2), 191-229) using a long panel and continuous measures of...

The objective of this paper is to analyze the influence of industry characteristics on the localization and urbanization agglomeration patterns of new firm location. To this end, we analyze the location decisions of new manufacturing firms in Spain. First, for a 3-digit level, we identify for...

Ellison and Glaeser's (1997) index of geographical concentration distinguishes between natural advantages and spillovers as a source of industrial agglomeration, but the well-known 'observational equivalence' means little is known about the relative importance of these. This paper uses the...

Regional politicians regard the cluster concept as a key factor for promoting regional economic performance. They refer to a comprehensive set of theoretical and empirical literature which provides the clusters' positive impact on regional development. Recent studies dealing with that topic...

The last one and a half centuries have witnessed dramatic changes in the world economy. The service (tertiary) sector, which at the beginning of the 20th century was of little importance relative to agriculture and manufacturing, has become the dominant sector today, accounting for 80% and more...

The São Paulo Metropolitan Region (SPMR) displays a strong core-periphery divide. Central areas concentrate the bulk of formal jobs while peripheral areas display high incidence of informal employment. This pattern is reinforced by a large deficit in urban transport provision. Against this...

This paper posits a new approach to the 'wage equation' of the New Economic Geography (NEG). On one side, it is shown that the NEG provides a spatial explanation of marginal costs, instead of wages. On the other side, and focusing on the statistical properties of the data, it is explained why...