REGIONAL SPECIALIZATION AND TECHNOLOGICAL LEAPFROGGING
Article Abstract:
This paper investigates circumstances where a region loses its technological leadership after some major technological breakthrough. Input-output linkages between firms in a Cournot upstream industry and a perfectly competitive downstream industry create forces for agglomeration in particular locations, driving up prices of immobile factors. A new technology that is incompatible with the old will not benefit from these linkages and so is more likely to be established in locations with little existing industry due to lower factor prices. Furthermore, in some circumstances the old and new technologies may coexist.
Publication Name: Journal of Regional Science
Subject: Social sciences
ISSN: 0022-4146
Year: 2001
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Spurious spatial regression: some Monte Carlo results with a spatial unit root and spatial cointegration
Article Abstract:
The concepts of spatial unit roots and spatial cointegration are presented and their implications for spatial regression are demonstrated through Monte-Carlo methods. As in the time-series case, it is shown that spatial unit roots result to spurious spatial regression. On the other hand, spatial cointegration is found to be similar to its time-series counterpart, although the spatial error-correction models are found to have inconsistent OLS estimators.
Publication Name: Journal of Regional Science
Subject: Social sciences
ISSN: 0022-4146
Year: 1999
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