IDEAS home Printed from https://ideas.repec.org/p/urv/wpaper/2072-292435.html
   My bibliography  Save this paper

Creativity and the City: Testing the Attenuation of Agglomeration Economies fo r the Creative Industries in Barcelona

Author

Listed:
  • Coll Martínez, Eva

Abstract

The aim of this paper is to infer the spatial extent of agglomeration economies for the creative service industries (SCI) in Barcelona and its relationship with firms’ performance. Using data from Mercantile Register (SABI) that provides micro-geographic data of firms between 2006 and 2015 I estimate the effect of intra-industry and inter-industry agglomeration in rings around location on productivity in Barcelona. Main results are that, (1) for CSI, at a micro-spatial level, localisation economies are not so relevant, although much work still remains to be done on this issue ; (2) while for Non-SCI having creative workers in the near proximity (250 metres) seems to enhance their productivity; and (3) for the symbolic - based CSI localisation economies – mainly understood as networking and knowledge externalities – have positive effects on TFP at shorter distances (less than 250 metres), while for the two other knowledge based CSI (i.e., synthetic and analytical) localisation economies seem not to be so relevant. These results strongly suggest the importance of networking or information spillovers in CIs, which are strongly concentrated in the largest cities. Keywords: creative industries, agglomeration economies, distance - based methods, micro-geographic data, Barcelona

Suggested Citation

  • Coll Martínez, Eva, 2017. "Creativity and the City: Testing the Attenuation of Agglomeration Economies fo r the Creative Industries in Barcelona," Working Papers 2072/292435, Universitat Rovira i Virgili, Department of Economics.
  • Handle: RePEc:urv:wpaper:2072/292435
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/2072/292435
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Combes, Pierre-Philippe & Gobillon, Laurent, 2015. "The Empirics of Agglomeration Economies," Handbook of Regional and Urban Economics, in: Gilles Duranton & J. V. Henderson & William C. Strange (ed.), Handbook of Regional and Urban Economics, edition 1, volume 5, chapter 0, pages 247-348, Elsevier.
    2. Stoneman, Paul, 2011. "Soft Innovation: Economics, Product Aesthetics, and the Creative Industries," OUP Catalogue, Oxford University Press, number 9780199697021.
    3. Stuart S. Rosenthal & William C. Strange, 2003. "Geography, Industrial Organization, and Agglomeration," The Review of Economics and Statistics, MIT Press, vol. 85(2), pages 377-393, May.
    4. Bjørn T. Asheim & Mario Davide Parrilli, 2012. "Introduction: Learning and Interaction — Drivers for Innovation in Current Competitive Markets," Palgrave Macmillan Books, in: Bjørn T. Asheim & Mario Davide Parrilli (ed.), Interactive Learning for Innovation, pages 1-29, Palgrave Macmillan.
    5. Duranton, Gilles & Puga, Diego, 2004. "Micro-foundations of urban agglomeration economies," Handbook of Regional and Urban Economics, in: J. V. Henderson & J. F. Thisse (ed.), Handbook of Regional and Urban Economics, edition 1, volume 4, chapter 48, pages 2063-2117, Elsevier.
    6. Gilles Duranton & Henry G. Overman, 2005. "Testing for Localization Using Micro-Geographic Data," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 72(4), pages 1077-1106.
    7. Allen J. Scott, 1982. "Locational Patterns and Dynamics of Industrial Activity in the Modern Metropolis," Urban Studies, Urban Studies Journal Limited, vol. 19(2), pages 111-141, May.
    8. Martin, Ron, 1999. "The New 'Geographical Turn' in Economics: Some Critical Reflections," Cambridge Journal of Economics, Cambridge Political Economy Society, vol. 23(1), pages 65-91, January.
    9. Henderson, Vernon & Kuncoro, Ari & Turner, Matt, 1995. "Industrial Development in Cities," Journal of Political Economy, University of Chicago Press, vol. 103(5), pages 1067-1090, October.
    10. Bjørn Asheim & Høgni Kalsø Hansen, 2009. "Knowledge Bases, Talents, and Contexts: On the Usefulness of the Creative Class Approach in Sweden," Economic Geography, Clark University, vol. 85(4), pages 425-442, October.
    11. Allen J. Scott, 1997. "The Cultural Economy of Cities," International Journal of Urban and Regional Research, Wiley Blackwell, vol. 21(2), pages 323-339, June.
    12. Ciccone, Antonio & Hall, Robert E, 1996. "Productivity and the Density of Economic Activity," American Economic Review, American Economic Association, vol. 86(1), pages 54-70, March.
    13. Glaeser, Edward L & Hedi D. Kallal & Jose A. Scheinkman & Andrei Shleifer, 1992. "Growth in Cities," Journal of Political Economy, University of Chicago Press, vol. 100(6), pages 1126-1152, December.
      • Edward L. Glaeser & Hedi D. Kallal & Jose A. Scheinkman & Andrei Shleifer, 1991. "Growth in Cities," NBER Working Papers 3787, National Bureau of Economic Research, Inc.
      • Glaeser, Edward Ludwig & Kallal, Hedi D. & Scheinkman, Jose A. & Shleifer, Andrei, 1992. "Growth in Cities," Scholarly Articles 3451309, Harvard University Department of Economics.
    14. Henderson, J. Vernon, 2003. "Marshall's scale economies," Journal of Urban Economics, Elsevier, vol. 53(1), pages 1-28, January.
    15. Coll Martínez, Eva & Arauzo Carod, Josep Maria, 2015. "Creative Industries: a Preliminary Insight to their Location Determinants," Working Papers 2072/250133, Universitat Rovira i Virgili, Department of Economics.
    16. Luciana Lazzeretti & Rafael Boix & Francesco Capone, 2008. "Do Creative Industries Cluster? Mapping Creative Local Production Systems in Italy and Spain," Industry and Innovation, Taylor & Francis Journals, vol. 15(5), pages 549-567.
    17. Rafael Boix & José Luis Hervás-Oliver & Blanca De Miguel-Molina, 2015. "Micro-geographies of creative industries clusters in Europe: From hot spots to assemblages," Papers in Regional Science, Wiley Blackwell, vol. 94(4), pages 753-772, November.
    18. Mohammad Arzaghi & J. Vernon Henderson, 2008. "Networking off Madison Avenue," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 75(4), pages 1011-1038.
    19. Allen Scott, 2006. "Entrepreneurship, Innovation and Industrial Development: Geography and the Creative Field Revisited," Small Business Economics, Springer, vol. 26(1), pages 1-24, February.
    20. Luciana Lazzeretti & Rafael Boix & Francesco Capone, 2008. "Do creative industries cluster? Mapping Creative Local Production Systems in Italy," Working Papers wpdea0805, Department of Applied Economics at Universitat Autonoma of Barcelona.
    21. Gilles Duranton & J. V. Henderson & William C. Strange (ed.), 2015. "Handbook of Regional and Urban Economics," Handbook of Regional and Urban Economics, Elsevier, edition 1, volume 5, number 5.
    22. Rosenthal, Stuart S. & Strange, William C., 2004. "Evidence on the nature and sources of agglomeration economies," Handbook of Regional and Urban Economics, in: J. V. Henderson & J. F. Thisse (ed.), Handbook of Regional and Urban Economics, edition 1, volume 4, chapter 49, pages 2119-2171, Elsevier.
    23. Andersson, Åke E. & Andersson, David Emanuel & Daghbashyan, Zara & Hårsman, Björn, 2014. "Location and spatial clustering of artists," Regional Science and Urban Economics, Elsevier, vol. 47(C), pages 128-137.
    24. Stuart S. Rosenthal & William C. Strange, 2005. "The geography of entrepreneurship in the New York metropolitan area," Economic Policy Review, Federal Reserve Bank of New York, issue Dec, pages 29-53.
    25. Combes, Pierre-Philippe & Duranton, Gilles & Gobillon, Laurent, 2008. "Spatial wage disparities: Sorting matters!," Journal of Urban Economics, Elsevier, vol. 63(2), pages 723-742, March.
    26. Klaus Desmet & Marcel Fafchamps, 2005. "Changes in the spatial concentration of employment across US counties: a sectoral analysis 1972--2000," Journal of Economic Geography, Oxford University Press, vol. 5(3), pages 261-284, June.
    27. Jordi Jofre-Monseny & Raquel Marín-López & Elisabet Viladecans-Marsal, 2014. "The Determinants Of Localization And Urbanization Economies: Evidence From The Location Of New Firms In Spain," Journal of Regional Science, Wiley Blackwell, vol. 54(2), pages 313-337, March.
    28. Peter Maskell & Mark Lorenzen, 2004. "The Cluster as Market Organisation," Urban Studies, Urban Studies Journal Limited, vol. 41(5-6), pages 991-1009, May.
    29. Rosenthal, Stuart S. & Strange, William C., 2008. "The attenuation of human capital spillovers," Journal of Urban Economics, Elsevier, vol. 64(2), pages 373-389, September.
    30. ErhardJ. Berner, 2000. "Poverty Alleviation and the Eviction of the Poorest: Towards Urban Land Reform in the Philippines∗," International Journal of Urban and Regional Research, Wiley Blackwell, vol. 24(3), pages 554-566, September.
    31. Daniel A. Ackerberg & Kevin Caves & Garth Frazer, 2015. "Identification Properties of Recent Production Function Estimators," Econometrica, Econometric Society, vol. 83, pages 2411-2451, November.
    32. Santagata Walter & Bertacchini Enrico, 2011. "Creative Atmosphere: Cultural Industries and Local Development," EBLA Working Papers 201104, University of Turin.
    33. Luciana Lazzeretti & Francesco Capone & Rafael Boix, 2011. "Reasons for Clustering of Creative Industries in Italy and Spain," European Planning Studies, Taylor & Francis Journals, vol. 20(8), pages 1243-1262, July.
    34. Caroline Chapain & Roberta Comunian, 2010. "Enabling and Inhibiting the Creative Economy: The Role of the Local and Regional Dimensions in England," Regional Studies, Taylor & Francis Journals, vol. 44(6), pages 717-734.
    35. Bruno Moriset, 2003. "The New Economy in the City: Emergence and Location Factors of Internet-based Companies in the Metropolitan Area of Lyon, France," Urban Studies, Urban Studies Journal Limited, vol. 40(11), pages 2165-2186, October.
    36. Ilke Van Beveren, 2012. "Total Factor Productivity Estimation: A Practical Review," Journal of Economic Surveys, Wiley Blackwell, vol. 26(1), pages 98-128, February.
    37. Bjørn Asheim & Høgni Kalsø Hansen, 2009. "Knowledge Bases, Talents, and Contexts: On the Usefulness of the Creative Class Approach in Sweden," Economic Geography, Taylor & Francis Journals, vol. 85(4), pages 425-442, October.
    38. Eric Marcon & Florence Puech, 2010. "Measures of the geographic concentration of industries: improving distance-based methods," Journal of Economic Geography, Oxford University Press, vol. 10(5), pages 745-762, September.
    39. Di Addario, Sabrina & Patacchini, Eleonora, 2008. "Wages and the City. Evidence from Italy," Labour Economics, Elsevier, vol. 15(5), pages 1040-1061, October.
    40. James Heilbrun, 1996. "Growth, accessibility and the distribution of arts activity in the United States: 1980 to 1990," Journal of Cultural Economics, Springer;The Association for Cultural Economics International, vol. 20(4), pages 283-296, December.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Eva Coll-Martínez, 2019. "Creativity and the city: testing the attenuation of agglomeration economies in Barcelona," Journal of Cultural Economics, Springer;The Association for Cultural Economics International, vol. 43(3), pages 365-395, September.
    2. Combes, Pierre-Philippe & Gobillon, Laurent, 2015. "The Empirics of Agglomeration Economies," Handbook of Regional and Urban Economics, in: Gilles Duranton & J. V. Henderson & William C. Strange (ed.), Handbook of Regional and Urban Economics, edition 1, volume 5, chapter 0, pages 247-348, Elsevier.
    3. Jordy Meekes & Wolter H. J. Hassink, 2023. "Endogenous local labour markets, regional aggregation and agglomeration economies," Regional Studies, Taylor & Francis Journals, vol. 57(1), pages 13-25, January.
    4. Eva Coll‐Martínez & Ana‐Isabel Moreno‐Monroy & Josep‐Maria Arauzo‐Carod, 2019. "Agglomeration of creative industries: An intra‐metropolitan analysis for Barcelona," Papers in Regional Science, Wiley Blackwell, vol. 98(1), pages 409-431, February.
    5. Katiuscia Lavoratori & Davide Castellani, 2021. "Too close for comfort? Microgeography of agglomeration economies in the United Kingdom," Journal of Regional Science, Wiley Blackwell, vol. 61(5), pages 1002-1028, November.
    6. Li, Jing & Li, Liyao & Liu, Shimeng, 2022. "Attenuation of agglomeration economies: Evidence from the universe of Chinese manufacturing firms," Journal of Urban Economics, Elsevier, vol. 130(C).
    7. Ming He & Yang Chen & Ron Schramm, 2018. "Technological spillovers in space and firm productivity: Evidence from China’s electric apparatus industry," Urban Studies, Urban Studies Journal Limited, vol. 55(11), pages 2522-2541, August.
    8. Andersson, Martin & Larsson, Johan P & Wernberg, Joakim, 2019. "The economic microgeography of diversity and specialization externalities – firm-level evidence from Swedish cities," Research Policy, Elsevier, vol. 48(6), pages 1385-1398.
    9. Ricardo A. López & Jens Südekum, 2009. "Vertical Industry Relations, Spillovers, And Productivity: Evidence From Chilean Plants," Journal of Regional Science, Wiley Blackwell, vol. 49(4), pages 721-747, October.
    10. Rosenthal, Stuart S. & Strange, William C., 2008. "The attenuation of human capital spillovers," Journal of Urban Economics, Elsevier, vol. 64(2), pages 373-389, September.
    11. Ehrl, Philipp & Monteiro Monasterio, Leonardo, 2016. "Historical trades, skills and agglomeration economies," MPRA Paper 69829, University Library of Munich, Germany.
    12. Graham, Daniel J. & Gibbons, Stephen, 2019. "Quantifying Wider Economic Impacts of agglomeration for transport appraisal: Existing evidence and future directions," Economics of Transportation, Elsevier, vol. 19(C), pages 1-1.
    13. Andersson, Martin & Larsson, Johan P. & Wernberg, Joakim, 2017. "The Economic Microgeography of Diversity and Specialization," Working Paper Series 1167, Research Institute of Industrial Economics.
    14. Gabriel, Stuart A. & Rosenthal, Stuart S., 2013. "Urbanization, agglomeration economies, and access to mortgage credit," Regional Science and Urban Economics, Elsevier, vol. 43(1), pages 42-50.
    15. Carlino, Gerald & Kerr, William R., 2015. "Agglomeration and Innovation," Handbook of Regional and Urban Economics, in: Gilles Duranton & J. V. Henderson & William C. Strange (ed.), Handbook of Regional and Urban Economics, edition 1, volume 5, chapter 0, pages 349-404, Elsevier.
    16. Martin, Philippe & Mayer, Thierry & Mayneris, Florian, 2011. "Spatial concentration and plant-level productivity in France," Journal of Urban Economics, Elsevier, vol. 69(2), pages 182-195, March.
    17. Chun‐Yu Ho & Yue Sheng, 2022. "Productivity advantage of large cities for creative industries," Papers in Regional Science, Wiley Blackwell, vol. 101(6), pages 1289-1306, December.
    18. Pierre-Philippe Combes & Gilles Duranton & Laurent Gobillon, 2011. "The identification of agglomeration economies," Journal of Economic Geography, Oxford University Press, vol. 11(2), pages 253-266, March.
    19. Diego Puga, 2010. "The Magnitude And Causes Of Agglomeration Economies," Journal of Regional Science, Wiley Blackwell, vol. 50(1), pages 203-219, February.
    20. Paul Verstraten & Gerard Verweij & Peter Zwaneveld, 2017. "Understanding employment decentralization by estimating the spatial scope of agglomeration economies," CPB Discussion Paper 342, CPB Netherlands Bureau for Economic Policy Analysis.

    More about this item

    Keywords

    Creativitat en els negocis -- Barcelona; 33 - Economia;

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:urv:wpaper:2072/292435. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Ariadna Casals (email available below). General contact details of provider: https://edirc.repec.org/data/deurves.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.