Labor Market Pooling: Evidence from Italian Industrial Districts

42 Pages Posted: 18 Jan 2011

Date Written: October 1, 2002


The paper provides an empirical investigation of the advantages accruing to workers in industrial clusters. Using a unique data set based on the Cluster Mapping Project of the Italian National Statistical Institute, we examine whether industry agglomeration leads to wage and labor mobility differentials. We estimate complete Mincerian wage equations, investigating whether returns to seniority and education are a possible source of differentiation. We find that working in an industrial cluster reduces the returns to education, does not affect the returns to seniority, and does not provide average wage premiums. On the other hand, industrial agglomeration positively affects the likelihood of being employed, of undertaking a business, and of transition from pay roll employment to entrepreneurship, and it increases blue-collar worker mobility across jobs.

Keywords: Agglomeration, Labor Market, Wages, Human Capital, Labor Mobility

JEL Classification: R0

Suggested Citation

Di Addario, Sabrina Lucia and de Blasio, Guido, Labor Market Pooling: Evidence from Italian Industrial Districts (October 1, 2002). Bank of Italy Temi di Discussione (Working Paper) No. 453, Available at SSRN: or

Sabrina Lucia Di Addario (Contact Author)

Bank of Italy ( email )

Via 20 settembre, 97/e
00187 Rome, I - 00184
+39 06 4792 3458 (Phone)
+39 06 4792 5626 (Fax)


Guido De Blasio

Bank of Italy ( email )

Via Nazionale 91
00184 Roma

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