Agglomeration and networks in spatial economies

B Johansson, Jonkoping International Business School
John M. Quigley, University of California, Berkeley

Abstract

We consider the parallel developments in the economics of agglomeration and the economics of networks. We explore the complementarities between the productivity benefits of agglomeration and those of network linkages, arguing that networks of actors dispersed over space may substitute for agglomerations of actors at a single point.