Manufacturing (Co)agglomeration in a Transition Country: Evidence from Russia

64 Pages Posted: 21 Mar 2018 Last revised: 27 Mar 2018

See all articles by Ekaterina Aleksandrova

Ekaterina Aleksandrova

National Research University Higher School of Economics

Kristian Behrens

University of Quebec at Montreal (UQAM) - Department of Economics

Maria Kuznetsova

National Research University Higher School of Economics

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Date Written: March 9, 2018

Abstract

We document geographic concentration patterns of Russian manufacturing using microgeographic data. About 42–52% of 4-digit and 63–75% of 3-digit industries are localized, with a higher share in the European part than in the Asian part. About 70% of 3-digit industry pairs are coagglomerated, especially those with stronger buyer-supplier links, more knowledge sharing, and lower transport costs. Pairs with a more similar workforce are, however, less coagglomerated, which points to impediments in labor mobility between regions and firms. Overall, the agglomeration forces are fairly similar to those operating in developed countries, with transportation likely to be a key driver.

Keywords: Agglomeration; Coagglomeration; Determinants of Geographic Concentration; Manufacturing Industries; Russia

JEL Classification: R12

Suggested Citation

Aleksandrova, Ekaterina and Behrens, Kristian and Kuznetsova, Maria, Manufacturing (Co)agglomeration in a Transition Country: Evidence from Russia (March 9, 2018). Higher School of Economics Research Paper No. WP BRP 186/EC/2018, Available at SSRN: https://ssrn.com/abstract=3144383 or http://dx.doi.org/10.2139/ssrn.3144383

Ekaterina Aleksandrova

National Research University Higher School of Economics ( email )

Myasnitskaya street, 20
Moscow, Moscow 119017
Russia

Kristian Behrens (Contact Author)

University of Quebec at Montreal (UQAM) - Department of Economics ( email )

P.O. Box 8888, Downtown Station
Montreal, Quebec H3C 3P8
Canada

Maria Kuznetsova

National Research University Higher School of Economics ( email )

Myasnitskaya street, 20
Moscow, Moscow 119017
Russia

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