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

41 Pages Posted: 29 May 2020

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

Multiple version iconThere are 2 versions of this paper

Date Written: January 2020

Abstract

We document the geographic concentration patterns of Russian manufacturing using detailed microgeographic data. About 80% of three‐digit industries are significantly agglomerated, and a similar share of three‐digit industry pairs is significantly coagglomerated. Industry pairs with stronger buyer–supplier links—as measured using Russian input–output tables—tend to be slightly more coagglomerated. This result is robust to instrumental variable estimation using either Canadian or US instruments. Using Canadian ad valorem transport costs as a proxy for transport costs in Russia, we further find that industries with higher transport costs are more dispersed, and industry pairs with higher transport costs are less coagglomerated.

Keywords: ad valorem transport costs, agglomeration, coagglomeration, input–output linkages, Russian manufacturing industries

Suggested Citation

Aleksandrova, Ekaterina and Behrens, Kristian and Kuznetsova, Maria, Manufacturing (Co)Agglomeration in a Transition Country: Evidence from Russia (January 2020). Journal of Regional Science, Vol. 60, Issue 1, pp. 88-128, 2020, Available at SSRN: https://ssrn.com/abstract=3611119 or http://dx.doi.org/10.1111/jors.12436

Ekaterina Aleksandrova (Contact Author)

National Research University Higher School of Economics ( email )

Myasnitskaya street, 20
Moscow, Moscow 119017
Russia

Kristian Behrens

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 )

136, Rodionova street
25/12, Bolshaya pecherskaya street
Nizhniy Novgorod, 603155
Russia

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