Labor Mobility, Knowledge Diffusion and Regional Growth
2009 (English)Report (Other academic)
This paper investigates the relationship between inter-firm labor mobility and regional productivity growth. Previous studies have shown that density is positively correlated with growth. I claim that it is not density in itself, but rather the attributes associated with it that drives economic growth. One such attribute is the increased possibility for labor mobility and knowledge diffusion that follows when firms and individuals locate in close proximity to each other. This hypothesis is tested using a matched employer-employee dataset where regional labor mobility is instrumented with density. The result shows that labor mobility increases regional growth rates.
Place, publisher, year, edition, pages
Stockholm: KTH Royal Institute of Technology, 2009. , 41 p.
CESIS Working Paper Series in Economics and Institutions of Innovation, 209
Labor mobility, regional growth, agglomeration economies
IdentifiersURN: urn:nbn:se:kth:diva-70088OAI: oai:DiVA.org:kth-70088DiVA: diva2:485855
QC 201202102012-02-102012-01-302012-02-10Bibliographically approved