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Comparative advantage and economic geography : estimating the location of production in the EU

Midelfart, Karen Helene; Overman, Henry G.; Venables, Anthony J.
Working paper
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URI
http://hdl.handle.net/11250/162976
Date
2000-10
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  • Discussion papers (SAM) [678]
Abstract
We develop and econometrically estimate a model of the location of industries across

countries. The model combines factor endowments and geographical considerations, and

shows how industry and country characteristics interact to determine the location of

production. We estimate the model on sectoral data for EU countries over the period

1980-97, and find that endowments of skilled and scientific labour are important

determinants of industrial structure, as also are forward and backward linkages to industry.
Publisher
Norwegian School of Economics and Business Administration. Department of Economics
Series
Discussion paper
2000:18

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