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What drives employment growth of Canadian businesses? A fresh look at indicators of agglomeration economies when competition and diversity matter
Uddevalla Symposium 2014: Geography of growth, the frequency and consequences of entrepreneurship and innovations in regions of varying density (2014)
  • Cong Wang, Syddansk Universitet
Abstract
This study investigates indicators of external scale economies in Canada for the period 2004-11. Accounting for firm-level external scale forces, we explore the extent to which external scale economies impact employment growth. Our analysis focuses on three factors: the impact of external scale economies accounting for Marshallian specialization and Jacobs diversity, competition by industry, and related and unrelated firm varieties in terms of employment and sales. Results accounting for non-linearity between employment growth and agglomeration suggest that in the short run, during the period 2004-2011, local competition and diversity in Canada have had a positive impact on employment growth, while the effect of Marshallian specialization is negative; during the period of the global financial crisis and immediately thereafter (2008-2011) however, the magnitude of the positive effect of competition and diversity is 
Publication Date
2014
Editor
I. Bernhard
Publisher
University West Sweden
ISBN
978-91-87531-02-6
Publisher Statement
Citation only

Wang, C. (2014). What drives employment growth of Canadian businesses? A fresh look at indicators of agglomeration economies when competition and diversity matter. In I. Bernhard (Ed.), Uddevalla Symposium 2014: Geography of growth, the frequency and consequences of entrepreneurship and innovations in regions of varying density (pp. 787-814). Uddevalla: University West Sweden.


Citation Information
Cong Wang. "What drives employment growth of Canadian businesses? A fresh look at indicators of agglomeration economies when competition and diversity matter" UddevallaUddevalla Symposium 2014: Geography of growth, the frequency and consequences of entrepreneurship and innovations in regions of varying density (2014)
Available at: http://works.bepress.com/cong-wang/9/