This paper studies the extent to which diversification and agglomeration effects account for regional differences in labour productivity levels and labour productivity growth. Using a large set of regional data for The Netherlands for 40 labour market areas between 1990-2001 we find that roughly...

This paper studies the impact of localization, urbanization, and diversification on regional labor productivity levels and growth. We find substantial effects, accounting for roughly half of the explained variation in the labor productivity differences within the Netherlands in the 1990s....

Oosterhaven J. and Broersma L. (2007) Sector structure and cluster economies: a decomposition of regional labour productivity, Regional Studies 41, 639-659. The paper shows that regional differences in labour productivity can be decomposed into a sector structure, a cluster economies and a...