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Identifier to cite or link to this item: https://hdl.handle.net/10086/19327

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Title
Measuring Economic Localization: Evidence from Japanese Firm-level Data
Creator
Creator Name
Nakajima, Kentaro Nakajima, Kentaro
中島, 賢太郎 中島, 賢太郎
ナカジマ, ケンタロウ ナカジマ, ケンタロウ
Affiliation
Affiliation Name
Tohoku University
Creator Name
Saito, Yukiko Umeno Saito, Yukiko Umeno
齊藤, 有希子 齊藤, 有希子
サイトウ、ユキコウメノ サイトウ、ユキコウメノ
Affiliation
Affiliation Name
Fujitsu Research Institute
Creator Name
Uesugi, Iichiro Uesugi, Iichiro
植杉, 威一郎 植杉, 威一郎
ウエスギ, イチロウ ウエスギ, イチロウ
Affiliation
Affiliation Name
Waseda University
Editor
Contributor Name
持続的成長を可能にする産業・金融ネットワークの設計 = Design of industry and financial network where sustained growth is enabled
Affiliation
Affiliation Name
Institute of Economic Research, Hitotsubashi University
RIETI
Contributor Name
Institute of Economic Research, Hitotsubashi University
Affiliation
Affiliation Name
Hitotsubashi University
Key Word
Micro-geographic data
Economic geography
JEL
R11
Abstract
This paper examines location patterns of Japan’s manufacturing industries using a unique firm-level dataset on the geographic location of firms. Following the point-pattern approach proposed by Duranton and Overman (2005), we find the following. First, about half of Japan’s manufacturing industries can be classified as localized and the number of localized industries is largest for a distance level of 40 km or less. Second, several industries in the textile mill products sector are among the most localized, which is similar to findings for the UK, suggesting that there exist common factors across countries determining the concentration of industrial activities. Third, the distribution of distances between entrant (exiting) firms and remaining firms is, in most industries, not significantly different from a random distribution. These results suggest that most industries in Japan neither become more localized nor more dispersed over time and are in line with similar findings by Duranton and Overman (2008) for the UK. Fourth, a comparison with the service sector indicates that the share of localized industries is higher in manufacturing than in services, although the extent of localization among the most localized manufacturing industries is smaller than that among the most localized service industries, including financial service industries
Description
40778
Publisher
Research Center for Interfirm Network, Institute of Economic Research, Hitotsubashi University
Issued Date
2011-09
Language
English(eng)
Resource Type
technical report
Version Type
VoR
Is Part OfRelation -
Related Title
IFN Working Paper ; No. 10
Number of Pages
32
Sponsorship
近未来の課題解決を目指した実証的社会科学推進事業
Appears in Collections
Working Paper Series / Design of industry and financial network where sustained growth is enabled
URL
https://hdl.handle.net/10086/19327