Industrial Development in Cities

@article{Henderson1995IndustrialDI,
  title={Industrial Development in Cities},
  author={V. Henderson and A. Kuncoro and M. Turner},
  journal={Journal of Political Economy},
  year={1995},
  volume={103},
  pages={1067 - 1090}
}
This paper uses data for eight manufacturing industries in 1970 and 1987 to test for and characterize dynamic production externalities in cities. We find evidence of both MAR externalities, which are associated with past own industry employment concentration, and Jacobs externalities, which are associated with past diversity of local total employment. More specifically, for mature capital goods industries, there is evidence of MAR externalities but none of Jacobs externalities. For new high… Expand
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