What Makes Cities More Productive? Agglomeration economies and the role of urban governance: Evidence from 5 OECD Countries

This paper estimates agglomeration benefits across five OECD countries, and represents the first empirical analysis that combines evidence on agglomeration benefits and the productivity impact of metropolitan governance structures, while taking into account the potential sorting of individuals acros...

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Bibliographic Details
Main Author: Ahrend, Rudiger
Other Authors: Farchy, Emily, Kaplanis, Ioannis, Lembcke, Alexander C.
Format: eBook
Language:English
Published: Paris OECD Publishing 2017
Series:OECD Productivity Working Papers
Subjects:
Online Access:
Collection: OECD Books and Papers - Collection details see MPG.ReNa
Description
Summary:This paper estimates agglomeration benefits across five OECD countries, and represents the first empirical analysis that combines evidence on agglomeration benefits and the productivity impact of metropolitan governance structures, while taking into account the potential sorting of individuals across cities. The comparability of results in a multi-country setting is supported through the use of a new internationally-harmonised definition of cities based on economic linkages rather than administrative boundaries. In line with the literature, the analysis confirms that city productivity increases with city size but finds that cities with fragmented governance structures tend to have lower levels of productivity. This effect is mitigated by the existence of a metropolitan governance body
Physical Description:35 p