Tag: agglomeration economies

EFFECTS ON EMPIRICAL ECONOMIC PERFORMANCE IN PROVINCIAL CLUSTER OF THE SOUTHERN SHORE OF THE GULF OF THAILAND

Kiatkajon CHAIRAT

Department of Management, Faculty of Management Technology, Rajamangala University of Technology Srivijaya, Nakhon Si Thammarat, Thailand Corresponding author: Kiatkajon Chairat Tel:+6681 870 0219

fmtkiat@gmail.com

Piya PECHSONG

Department of Management, Faculty of Management Technology, Rajamangala University of Technology Srivijaya, Nakhon Si Thammarat, Thailand

p_piya1@hotmail.com

Abstract

The aim of this paper are analyze the role of spatial concentration of  economic activities and estimate the effect of provincial cluster in the Southern shore of the Gulf of Thailand on economic growth. Panel data from the years 1995-2015 are data that collected for all 4 provinces in provincial cluster. The result show the value of LQ that more than 1 reveal in agricultural (LQAgricultural) and industry sector (LQIndustry). While, the analyzed the effect of spatial concentration of economic activities in provincial cluster present agricultural sector (LQIndustry) and service sector (LQService) variables significant on economic performance. The case of hotels and restaurants (LQHotel) which is sub economic activities of service sector be significant on economic growth. These results presence the role of externalities as the factor component in the operation of the economic activities in provincial cluster of the Southern shore of the Gulf of Thailand.

Keywords: Agglomeration economies, Spatial concentration, Provincial cluster

JEL classification: R11, R12, R58

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Agglomeration Economies and Location Decision-making of Firms in Location-triangle Approach

Daisuke Nakamura

The International Centre for the Study of East Asian Development (ICSEAD)

Abstract:

The location-triangle framework, which was originally established by Alfred Weber, has been expanded in various ways and generalized as the Weber-Moses location-triangle model. However, several essential elements, in particular, regarding agglomeration economies have been excluded from the model framework. This may cause a potential difficulty to connect location-triangle approach with recent more advanced spatial economic analysis. In this paper, an alternative hypothetical model is introduced to the location triangle framework with the notions of agglomeration economies and corresponding transportation costs. The alternative model framework enables the location-triangle model to deal with investigating modern complex industrial organizations. Further avenues of extension are also discussed. read more

JEL Classification: L14; O21; R30; R58

Keywords: Location-triangle model; agglomeration economies; transportation costs; firm location