TY  - JOUR
AU  - Duranton, Gilles
AU  - Kerr, William R
TI  - The Logic of Agglomeration
JF  - National Bureau of Economic Research Working Paper Series
VL  - No. 21452
PY  - 2015
Y2  - August 2015
DO  - 10.3386/w21452
UR  - http://www.nber.org/papers/w21452
L1  - http://www.nber.org/papers/w21452.pdf
N1  - Author contact info:
Gilles Duranton
The Wharton School
University of Pennsylvania
3620 Locust Walk
Philadelphia, PA 19104
Tel: 215/898-2859
E-Mail: duranton@wharton.upenn.edu

William R. Kerr
Harvard Business School
Rock Center 212
Soldiers Field
Boston, MA 02163
Tel: 617/496-7021
E-Mail: wkerr@hbs.edu
AB  - This review discusses frontier topics in economic geography as they relate to firms and agglomeration economies. We focus on areas where empirical research is scarce but possible. We first outline a conceptual framework for city formation that allows us to contemplate what empiricists might study when using firm-level data to compare the functioning of cities and industries with each other. We then examine a second model of the internal structure of a cluster to examine possibilities with firm-level data for better exposing the internal operations of clusters. An overwhelming theme of our review is the vast scope for enhancements of our picture of agglomeration with the new data that are emerging.
ER  -