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Nursery Cities: Urban Diversity, Process Innovation and the Life-Cycle of Products

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TLDR
In this paper, a simple model of process innovation is proposed, where firms learn about their ideal production process by making prototypes and switch to mass-production and relocate to specialised cities with lower costs.
Abstract
A simple model of process innovation is proposed, where firms learn about their ideal production process by making prototypes. We build around this a dynamic general equilibrium model, and derive conditions under which diversified and specialised cities coexist. New products are developed in diversified cities, trying processes borrowed from different activities. On finding their ideal process, firms switch to mass-production and relocate to specialised cities with lower costs. When in equilibrium, this configuration welfare-dominates those with only diversified or only specialised cities. We find strong evidence of this relocation pattern in establishment relocations across French employment areas 1993u1996.

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State capacity, urbanization and the onset of modern economic growth *

TL;DR: This article argued that the development of the modern state and the subsequent increase in taxation triggered an unprecedented flow of labour into cities, which led to the creation and diffusion of knowledge within urban communities, thereby generating sustained technological change.
Journal ArticleDOI

Beyond ‘related variety’: how inflows of skills shape innovativeness in different industries

TL;DR: In this paper, the authors focus on inter-industry differences in the receptiveness of firms to inflows of skills from different domains of the external economy and propose an evolutionary approach to the problem.
Posted ContentDOI

Finding the Endless Frontier: Lessons from the Life Sciences Innovation System for Energy R&D

TL;DR: In this paper, the authors consider the drivers of the structure and evolution of the life sciences innovation system and highlight three central foundations: a long-term, slowly growing commitment of financial and human resources by both the public and private sector, an institutional framework that encourages competition on the basis of innovation across multiple dimensions, and the promise of significant financial rewards for private sector innovators leveraging publicly funded scientific discoveries.
DissertationDOI

Measure of Global Specialization and Spatial Clustering for the Identification of "Specialized" Agglomeration

TL;DR: In this article, a measure of global specialization, a local disaggregation of the global measure, and a spatial clustering method for the identification of specialized agglomerations is proposed.
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Foreign Multinationals and Head Office Employment in Canadian Manufacturing Firms

TL;DR: The authors examined head office employment in the Canadian manufacturing sector and found that foreign-owned firms are more likely to create a head office and to create more employment in their head offices than are domestic controlled firms, after controlling for firm characteristics.
References
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Book

Principles of Economics

TL;DR: In this article, the authors present a survey of the general relations of demand, supply, and value in terms of land, labour, capital, and industrial organization, with an emphasis on the fertility of land.
Book

The Economy of Cities

Jane Jacobs
TL;DR: In this article, the authors studied the economy of cities and the main social problems that humanity has and the greatest source of creativity, innovation and development opportunities to solve those problems, which is relevant for a number of reasons: first of all, because most of the planet's population is grouped in them.
Posted Content

Growth in Cities

TL;DR: In this paper, the authors used a new data set on the growth of large industries in 170 U.S. cities between 1956 and 1987 and found that local competition and urban variety, but not regional specialization, encourage employment growth in industries.
Journal ArticleDOI

Innovation in cities: Science-based diversity, specialization and localized competition

TL;DR: In this article, the authors consider the effect of the composition of economic activity on innovation and test whether the specialization of economic activities within a narrow concentrated set of activities is more conducive to knowledge spillovers or if diversity, by bringing together complementary activities, better promotes innovation.
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