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Location, agglomeration and infrastructure

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  • Philip McCann
  • Daniel Shefer

Abstract

In this article we discuss the relationships between transportation infrastructure, firm location, agglomeration and regional development. We will argue that the spatial transaction costs faced by modern firms have changed over recent decades, and that this has changed the ways in which transportation infrastructure contributes to form location behaviour and regional economic development. Therefore, in order to analyse these issues, it is necessary to consider the spatial transaction costs faced by modern firms and to investigate the conditions under which reductions in these costs due to infrastructure improvements will allow firms to move. These complex relationships are seen to be mediated via different geography-firm-organisation structures and consideration of these is essential for any realistic evaluation of the role of transportation infrastructure. Copyright Springer-Verlag Berlin/Heidelberg 2003

Suggested Citation

  • Philip McCann & Daniel Shefer, 2003. "Location, agglomeration and infrastructure," Economics of Governance, Springer, vol. 83(1), pages 177-196, October.
    • Handle: RePEc:spr:ecogov:v:83:y:2003:i:1:p:177-196
    DOI: 10.1007/s10110-003-0182-y
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    Cited by:

    1. Wan, Guanghua & Zhang, Yan, 2018. "The direct and indirect effects of infrastructure on firm productivity: Evidence from Chinese manufacturing," China Economic Review, Elsevier, vol. 49(C), pages 143-153.
    2. Mark Lorenzen & Ram Mudambi & Andreas Schotter, 0. "International connectedness and local disconnectedness: MNE strategy, city-regions and disruption," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 0, pages 1-24.
    3. Johansson, Börje & Forslund, Ulla, 2005. "The Analysis of Location, Co-location and Urbanisation Economics," Working Paper Series in Economics and Institutions of Innovation 46, Royal Institute of Technology, CESIS - Centre of Excellence for Science and Innovation Studies.
    4. Zachary P Neal, 2017. "Well connected compared to what? Rethinking frames of reference in world city network research," Environment and Planning A, , vol. 49(12), pages 2859-2877, December.
    5. Mark Lorenzen & Ram Mudambi & Andreas Schotter, 2020. "International connectedness and local disconnectedness: MNE strategy, city-regions and disruption," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 51(8), pages 1199-1222, October.
    6. Iammarino, Simona & McCann, Philip, 2006. "The structure and evolution of industrial clusters: Transactions, technology and knowledge spillovers," Research Policy, Elsevier, vol. 35(7), pages 1018-1036, September.
    7. Gerardo Marletto, 2010. "Transalpine Transport Policies: Towards A Shared Approach," Articles, International Journal of Transport Economics, vol. 37(3).
    8. Philip Mccann, 2006. "On the supply-side determinants of regional growth," Construction Management and Economics, Taylor & Francis Journals, vol. 24(7), pages 681-693.
    9. C. Dembour, 2008. "Competition for Business Location: A Survey," Journal of Industry, Competition and Trade, Springer, vol. 8(2), pages 89-111, June.
    10. Peña Sánchez, A.R., 2008. "La distribución regional del capital productivo empresarial en España: Factores determinantes," Estudios de Economia Aplicada, Estudios de Economia Aplicada, vol. 26, pages 277-302, Septiembr.
    11. Daniel Shefer, 2011. "The Center-periphery Dilemma and the Issue of Equity in Regional Development," ERSA conference papers ersa11p1192, European Regional Science Association.
    12. Evangelos Rasvanis & Vassilis Tselios, 2023. "Do geography and institutions affect entrepreneurs’ future business plans? Insights from Greece," Journal of Innovation and Entrepreneurship, Springer, vol. 12(1), pages 1-21, December.
    13. Andrés Rodríguez-Pose & Vassilis Tselios, 2010. "Inequalities in income and education and regional economic growth in western Europe," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 44(2), pages 349-375, April.
    14. Bernard Fingleton, 2005. "Towards applied geographical economics: modelling relative wage rates, incomes and prices for the regions of Great Britain," Applied Economics, Taylor & Francis Journals, vol. 37(21), pages 2417-2428.
    15. Evangelos Rasvanis & Vassilis Tselios, 2021. "Do agglomeration economies matter where natural endowments are? Lessons from Greece," Regional Science Policy & Practice, Wiley Blackwell, vol. 13(3), pages 1009-1024, June.
    16. Ryusuke Ihara & Tomohiro Machikita, 2007. "Voting for highway construction in economic geography," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 41(4), pages 951-966, December.
    17. Josep‐Maria Arauzo‐Carod, 2008. "Industrial Location At A Local Level: Comments On The Territorial Level Of The Analysis," Tijdschrift voor Economische en Sociale Geografie, Royal Dutch Geographical Society KNAG, vol. 99(2), pages 193-208, April.
    18. Muhammad Imran & Gu Zhang & HuSen An, 2017. "Impact of market access and comparative advantage on regional distribution of manufacturing sector," China Finance and Economic Review, Springer, vol. 5(1), pages 1-14, December.
    19. McCann, Philip & Arita, Tomokazu, 2006. "Clusters and regional development: Some cautionary observations from the semiconductor industry," Information Economics and Policy, Elsevier, vol. 18(2), pages 157-180, June.

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