Chapter 49

Evidence on the Nature and Sources of Agglomeration Economies

Stuart S. Rosenthal ssrosent@maxwell.syr.edu     Department of Economics and Center for Policy Research, Syracuse University, Syracuse, NY 13244-1020, USA, http://www-cpr.maxwell.syr.edu/faculty/rosenthal/.

William C. Strange wstrange@rotman.utoronto.ca     Rotman School of Management, 105 St. George St., University of Toronto, Toronto, ON M5S 3E6, Canada, http://www.rotman.utoronto.ca/~wstrange/.

JEL classification: R0, O4, D2, C1

Abstract

This paper considers the empirical literature on the nature and sources of urban increasing returns, also known as agglomeration economies. An important aspect of these externalities that has not been previously emphasized is that ...

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