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Disentangling agglomeration and network externalities: A conceptual typology
Author(s) -
Meeteren Michiel,
Neal Zachary,
Derudder Ben
Publication year - 2016
Publication title -
papers in regional science
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.937
H-Index - 64
eISSN - 1435-5957
pISSN - 1056-8190
DOI - 10.1111/pirs.12214
Subject(s) - typology , externality , economies of agglomeration , conceptualization , network effect , economic geography , economics , microeconomics , business , sociology , computer science , artificial intelligence , anthropology
Agglomeration and network externalities are fuzzy concepts. When different meanings are (un)intentionally juxtaposed in analyses of the agglomeration/network externalities‐menagerie, researchers may reach inaccurate conclusions about how they interlock. Both externality types can be analytically combined, but only when one adopts a coherent approach to their conceptualization and operationalization, to which end we provide a combinatorial typology. We illustrate the typology by applying a state‐of‐the‐art bipartite network projection detailing the presence of globalized producer services firms in cities in 2012. This leads to two one‐mode graphs that can be validly interpreted as topological renderings of agglomeration and network externalities.