Introduction to Geographical Economics: Trade, Location and by Steven Brakman

By Steven Brakman

The necessity for higher knowing of the position situation performs in fiscal existence was once first and such a lot famously made particular via Bertil Ohlin in 1933. but it is barely lately, with the advance of laptop applications capable of deal with advanced structures, in addition to advances in fiscal thought, that Ohlin's imaginative and prescient has been met and a framework built and is the reason the distribution of financial job throughout area. This ebook is an built-in, non-mathematical, first-principles textbook featuring Geographical Economics to complicated scholars. Its emphasis is on examples, diagrams, and empirical facts, making it the correct start line sooner than monographic and magazine fabric.

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E. E. 9%). Essentially, the HDD industry currently is concentrated in two clusters. The first is in Silicon Valley in the United States, with a substantial share of research, design, development, marketing, and management (with a smaller counterpart in Japan). The second is in Southeast Asia, which dominates final assembly, most labor-intensive subassemblies, and low-tech components, such as baseplates. The question why we have clustering is a central theme of this book. At the industry level this phenomenon is known as concentration; see chapters 5, 6 and 8.

The empirical phenomena touched upon above have been studied thoroughly from many different angles, based on different theoretical frameworks, for a long time. From what is primarily a location perspective there are urban economics, economic geography, regional economics, and regional science. The interaction between economic centers is addressed by international economics, development economics, and industrial organization. One way to 18 An introduction to geographical economics proceed would be to investigate each empirical phenomenon separately, using the insights of those of the above fields, inside or outside economics, which are thought to be relevant for the issue at hand.

1 Note: a Nationality of firm (percentage of unit output); location of final assembly; employment in value chain; and wages paid in value chain, respectively. Source: Gourevitch, Bohn, and McKendrick (2000), Table 2 (data for 1995). All numbers as percentage of world total. it the “Made in Singapore” or “Made in Taiwan” label, is only one, and not necessarily the most important, aspect in this process. As Gourevitch, Bohn, and McKendrick (2000), discussing the structure of Seagate, the world’s largest manufacturer of HDDs, put it: Although Seagate has kept control over almost all production, it has globally dispersed its operations to an extraordinary degree.

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