Transaction Costs, Agglomeration Economies, and Industrial Location: A Comment

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Vries, Piet de and Hospers, Gert-Jan (2006) Transaction Costs, Agglomeration Economies, and Industrial Location: A Comment. Growth and Change, 37 (2). pp. 307-314. ISSN 00174815

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Abstract:This article comments on a recent contribution by Wood and Parr to Growth and Change. Wood and Parr apply the institutional–economic approach to agglomeration issues. After a sketch of the conceptual background, the present article discusses some concepts introduced by Wood and Parr, such as "transaction space" and the alleged relationship between space homogeneity and transaction cost. This is followed by critical remarks from the very same institutional–economic point of view. In the article, the conclusion is drawn that some limitations should be taken into account when applying the institutional perspective to agglomeration economics.
Item Type:Article
Copyright:© 2006 Blackwell
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Management and Governance (SMG)
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Link to this item:http://purl.utwente.nl/publications/58504
Official URL:http://dx.doi.org/10.1111/j.1468-2257.2006.00319.x
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