TY  - JOUR
AU  - Head,Keith
AU  - Ries,John
AU  - Swenson,Deborah
TI  - Agglomeration Benefits and Location Choice: Evidence from Japanese      Manufacturing Investment in the United States
JF  - National Bureau of Economic Research Working Paper Series
VL  - No. 4767
PY  - 1994
Y2  - June 1994
UR  - http://www.nber.org/papers/w4767
L1  - http://www.nber.org/papers/w4767.pdf
N1  - Author contact info:
Keith Head
Sauder School of Business, UBC
2053 Main Mall
Vancouver, BC  V6T 1Z2
CANADA
Tel: 6048228492
Fax: 6048228477
E-Mail: keith.head@commerce.ubc.ca

John Ries
University of British Columbia
Faculty of Commerce
2053 Main Mall
Vancouver, BC  V6T1Z2, Canada
Tel: 604-224-8493
E-Mail: john.ries@sauder.ubc.ca

Deborah L. Swenson
Department of Economics
University of California, Davis
Davis, CA 95616
Tel: 530/752-1569
Fax: 530/752-9382
E-Mail: deswenson@ucdavis.edu
AB  - Recent theories of economic geography suggest that firms in the same industry may be drawn to the same locations because proximity generates positive externalities or 'agglomeration effects.'  Under this view, chance events and government inducements can have a lasting influence on the geographical pattern of manufacturing.  However, most evidence on the causes and magnitude of industry localization has been based on stories, rather than statistics.  This paper examines the location choices of 751 Japanese manufacturing plants built in the U.S. since 1980.  Conditional logit estimates support the hypothesis that industry-level agglomeration benefits play an important role in location decisions.
ER  -