@Article{Aiginger2006,
author="Aiginger, Karl
and Rossi-Hansberg, Esteban",
title="Specialization and concentration: a note on theory and evidence",
journal="Empirica",
year="2006",
month="Sep",
day="01",
volume="33",
number="4",
pages="255--266",
abstract="We study the prediction of the theory in Rossi-Hansberg [Rossi-Hansberg E (2005) Am Econ Rev 95(5):1464--1491] that, under quite general circumstances, lower transport costs increase specialization of regions or countries and decrease (regional) concentration of industries. This prediction contradicts the contention of other models and many empirical papers that specialization and concentration should move in parallel. We use two data sets on manufacturing industries across US States and EU member countries to show specialization and concentration do not develop in parallel. The empirical data replicates some of the features of the divergence predicted in the model.",
issn="1573-6911",
doi="10.1007/s10663-006-9023-y",
url="https://doi.org/10.1007/s10663-006-9023-y"
}