The Impact of Aging and Technological Relatedness on Agglomeration Externalities
We study localization, urbanization and Jacobs’ externality effects on plant survival in Sweden (1970–2004). We focus on two questions: (i) do agglomeration externalities change with the age of plants? and (ii) what is the role of technological relatedness among local industries? We find that agglomeration externalities affect survival chances of plants. This effect, however, differs between corpo