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An Empirical Analysis of Agglomeration Effect in the Japanese Food Industry -Panel Analysis Using Flexible Translog Production Function-

Author

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  • Kageyama, Masahiro
  • Tokunaga, Suminori
  • Akune, Yuko

Abstract

In this paper, we examine the existence of agglomeration effect on production in the Japanese food industry from 1985 to 2000 using plant-level 4-digit subclassification, panel dataset and new agglomeration index in Akune and Tokunaga (2005), and Tokunaga, Kageyama, and Akune (2005), based on Ellison and Glaeser (1997). This is an improvement on the the conventional indices such as Location Quotient (LQ) or Location Gini Coefficient (L).When we apply a flexible translog production function and cost share equation as suggested by Kim (1992), we find that around 2% of positive agglomeration effect exists in absence of any restriction on homotheticity in the the case of employment based agglomeration (Gamma EG ).

Suggested Citation

  • Kageyama, Masahiro & Tokunaga, Suminori & Akune, Yuko, 2006. "An Empirical Analysis of Agglomeration Effect in the Japanese Food Industry -Panel Analysis Using Flexible Translog Production Function-," 2006 Annual Meeting, August 12-18, 2006, Queensland, Australia 25510, International Association of Agricultural Economists.
  • Handle: RePEc:ags:iaae06:25510
    DOI: 10.22004/ag.econ.25510
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    Cited by:

    1. Wang, Jianda & Guo, Dongsheng, 2023. "Siphon and radiation effects of ICT agglomeration on green total factor productivity: Evidence from a spatial Durbin model," Energy Economics, Elsevier, vol. 126(C).
    2. Hao, Yu & Guo, Yunxia & Li, Suixin & Luo, Shiyue & Jiang, Xueting & Shen, Zhiyang & Wu, Haitao, 2022. "Towards achieving the sustainable development goal of industry: How does industrial agglomeration affect air pollution?," Innovation and Green Development, Elsevier, vol. 1(1).

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    Keywords

    Agribusiness;

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