Using firm-level based TFP indicators (as opposed to employment-based proxies) we estimate the effects of alternative sources of dynamic externalities at the local level. In contrast to previous empirical work, we find that industrial specialization and scale indicators affect TFP growth...

This paper measures the volatility of manufacturing employment growth across Canadian regions for the period 1976-97. It also attempts to relate the structural characteristics of regional economies to their levels of employment volatility. In particular, the analysis focuses on testing whether...