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Market potential and the employment growth of knowledge-intensive services: comparing different geographical resolutions
Jönköping University, Jönköping International Business School, JIBS, Economics. Jönköping University, Jönköping International Business School, JIBS, Centre for Entrepreneurship and Spatial Economics (CEnSE).
Jönköping University, Jönköping International Business School, JIBS, Economics. Jönköping University, Jönköping International Business School, JIBS, Centre for Entrepreneurship and Spatial Economics (CEnSE).
2015 (English)In: The annals of regional science, ISSN 0570-1864, E-ISSN 1432-0592, Vol. 55, no 1, 157-185 p.Article in journal (Refereed) Published
Abstract [en]

In order to empirically understand the geographical reach of different markets, it is vital to use an appropriate geographical resolution. Using too large observational units risks hiding the interesting relationships within the regional boundaries. In this study, we aim to investigate and compare similar analyses performed on different geographical levels, with a special focus on innovative industries. Accessibility to markets, services and infrastructure is thought to be major determinants of the potential for economic development and welfare of a region. Earlier empirical research establishing the relationship between agglomeration forces and regional growth typically includes a measure for accessibility or market potential as an explanatory factor. The geographical scale that conventional accessibility measures operate on is usually on the level of municipalities or similar, even when theory suggests that a more disaggregated scale is desirable. Most often the reason for this is limitations in available data. In many cases, the researcher is left with a geographical level based on administrative borders. Analyses on more disaggregated levels allow the researcher to better pinpoint the actual accessibility that each firm faces. In order to shed light on the importance of these issues, this paper utilizes an exploratory approach to investigate the relationship between the spatial distribution and growth of knowledge-intensive services (KIS) and the accessibility to economic activity (market potential). We use regional employment growth in KIS as a proxy for regional innovativeness. The relationship is estimated on two different geographical levels using Swedish data. The more conventional model is estimated with the 290 municipalities in Sweden as the units of analysis. In the Swedish context, this represents the geographically smallest administrative level. In the more novel model, we use the 298 so-called SAMS areas of Jönköping County in Sweden. Our results show that the detailed level is particularly important for the analysis of the growth of the more advanced sectors of the economy, in our setting, the high-tech knowledge-intensive services.

Place, publisher, year, edition, pages
2015. Vol. 55, no 1, 157-185 p.
National Category
Economics
Identifiers
URN: urn:nbn:se:hj:diva-28052DOI: 10.1007/s00168-015-0701-1ISI: 000364031400007Scopus ID: 2-s2.0-84946486790OAI: oai:DiVA.org:hj-28052DiVA: diva2:857072
Note

Included in an updated and improved version with the title "Market potential and the location of knowledge intensive services: comparing different geographical resolutions" in doctoral thesis "Transport accessibility, wholesale trade and spatial development" (link below).

Available from: 2015-09-28 Created: 2015-09-28 Last updated: 2017-09-14Bibliographically approved
In thesis
1. Transport accessibility, wholesale trade and spatial development
Open this publication in new window or tab >>Transport accessibility, wholesale trade and spatial development
2017 (English)Doctoral thesis, comprehensive summary (Other academic)
Abstract [en]

This thesis comprises four independent papers, which all explore some aspect of the relationship between accessibility and spatial development. The central question I pose is how improved accessibility to transportation services, human capital, jobs, or the market contributes to the spatial variation in economic development. Empirical data and estimations are utilized in all chapters.

The first paper (co-authored with Johan Klaesson) explores how a regional accessibility model can be used to analyze the growth of knowledge-intensive industries on a detailed geographical scale compared to a broader definition.

In the second paper (co-authored with Maria Börjesson and Christer Anderstig), a refined accessibility measure is used to estimate the magnitude of the causal effect of transport system investments on the unemployment rate, and whether the effect differs for people with different levels of education.

The third paper addresses the role that access to transportation services plays for wholesale start-ups, particularly in regions lacking in local demand.

The analysis in paper number four covers the same time period as the advancement of the Internet, which greatly reduced transaction costs. The paper examines the importance of access to human capital for the spatial reorganization and growth of wholesale industries during this time period.

Place, publisher, year, edition, pages
Jönköping: Jönköping University, Jönköping International Business School, 2017. 45 p.
Series
JIBS Dissertation Series, ISSN 1403-0470 ; 115
National Category
Economics
Identifiers
urn:nbn:se:hj:diva-37291 (URN)978-91-86345-75-4 (ISBN)
Public defence
2017-09-29, B1014, Internationella handelshögskolan, Jönköping, 10:00 (English)
Opponent
Supervisors
Funder
VINNOVA, 2014-03587
Available from: 2017-09-13 Created: 2017-09-13 Last updated: 2017-09-13Bibliographically approved

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