What Explains the Location of Industry in Britain, 1871-1931?

36 Pages Posted: 19 May 2004

See all articles by Nicholas Crafts

Nicholas Crafts

University of Warwick; Centre for Economic Policy Research (CEPR)

Abay Mulatu

London School of Economics & Political Science (LSE) - Department of Economic History

Date Written: April 2004

Abstract

Where transport costs were falling, were the new economic geography forces for industry agglomeration and dispersion at work in the movement of industry in pre-1931 Britain? This Paper examines the issue empirically using a general model that nests the Heckscher-Ohlin factor endowment with new economic geography models. The evidence suggests that while the former mainly drove the location of pre-1931 British industry, the scale economies aspect of the latter also played a role.

Keywords: Industry location, British manufacturing, transport costs, agglomeration economies

JEL Classification: N23, O18, O52

Suggested Citation

Crafts, Nicholas and Mulatu, Abay, What Explains the Location of Industry in Britain, 1871-1931? (April 2004). Available at SSRN: https://ssrn.com/abstract=548282

Nicholas Crafts (Contact Author)

University of Warwick ( email )

Gibbet Hill Rd.
Coventry, West Midlands CV4 8UW
United Kingdom

Centre for Economic Policy Research (CEPR)

London
United Kingdom

Abay Mulatu

London School of Economics & Political Science (LSE) - Department of Economic History ( email )

Houghton Street
London WC2A 2AE
United Kingdom

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