Sources of productivity differentials in manufacturing in post-transition urban South-East Europe |
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Authors: | Katarina Bačić Sunčana Slijepčević |
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Institution: | 1. Department for Macroeconomics and International Economics, The Institute of Economics, Zagreb, Croatia;2. Department for Regional Development, The Institute of Economics, Zagreb, Croatia |
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Abstract: | The paper analyses the effects of urbanization and localisation economies on manufacturing firms’ productivity across urban landscapes in post-transition South-East European (SEE) countries. Fixed-effects panel data estimations on a large sample of firms show that the factors accounting for productivity advantages of manufacturing firms in urban post-transition SEE are related to the firms and to the environment in which these firms operate. Firms located in diversified cities benefit from a productivity premium generated in this type of agglomeration, while no evidence was found that the relative specialization across industries has any effect on firm productivity levels. |
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Keywords: | City manufacturing total factor productivity post-transition South-East Europe |
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