Publication:
Business Environment, Clustering, and Industry Location : Evidence from Indian Cities

dc.contributor.author Lall, Somik V.
dc.contributor.author Mengistae, Taye
dc.date.accessioned 2012-06-20T22:34:40Z
dc.date.available 2012-06-20T22:34:40Z
dc.date.issued 2005-08
dc.description.abstract How do differences in the local business environment influence location of industry within countries? How do the benefits of a good business environment compare with those from good market access and agglomeration economies from industry clustering? The authors examine these questions by analyzing location decisions of individual firms. Using data from a recently completed survey of manufacturing firms in India, they find that both the local business environment and agglomeration economies significantly influence business location choices across cities. In particular, excessive regulation of labor and of other industrial activities reduces the probability of a business locating in a city. The authors' findings imply that in order to attract industrial activity, smaller or remoter cities need to offer even more attractive policy concessions or reforms to offset the effects of their relatively adverse (economic) geography. Their methodology pays special attention to the identification of agglomeration economies in the presence of unobserved sources of natural advantage. en
dc.identifier http://documents.worldbank.org/curated/en/2005/08/6180790/business-environment-clustering-industry-location-evidence-indian-cities
dc.identifier.uri http://hdl.handle.net/10986/8615
dc.language English
dc.publisher World Bank, Washington, DC
dc.relation.ispartofseries Policy Research Working Paper; No. 3675
dc.rights CC BY 3.0 IGO
dc.rights.holder World Bank
dc.rights.uri http://creativecommons.org/licenses/by/3.0/igo/
dc.subject ACCOUNTING
dc.subject ADAPTATION
dc.subject ADVERTISING
dc.subject AIR
dc.subject ALM
dc.subject ASSETS
dc.subject BANK BRANCHES
dc.subject BANKRUPTCY
dc.subject BANKS
dc.subject CLIMATE
dc.subject COLLATERAL
dc.subject CONSTRUCTION
dc.subject CONTRACT ENFORCEMENT
dc.subject COST SAVINGS
dc.subject DEBT
dc.subject DECISION MAKING
dc.subject DEFAULT RISK
dc.subject DEPOSITS
dc.subject DISTORTIONARY EFFECTS
dc.subject ECONOMIC ACTIVITY
dc.subject ECONOMIES OF SCALE
dc.subject ELASTICITIES
dc.subject EMPIRICAL ANALYSIS
dc.subject EMPIRICAL STUDIES
dc.subject EMPLOYMENT
dc.subject ENVIRONMENTAL PROTECTION
dc.subject EQUILIBRIUM
dc.subject EXPLOITATION
dc.subject EXTERNALITIES
dc.subject FINANCIAL INSTITUTIONS
dc.subject FOOD PROCESSING
dc.subject IDLE CAPACITY
dc.subject INCOME
dc.subject INTERMEDIATE GOODS
dc.subject LABOR COSTS
dc.subject LABOR FORCE
dc.subject LAND PRICES
dc.subject LAND TAXES
dc.subject LAND USE
dc.subject LAWS
dc.subject LEGISLATION
dc.subject LOCAL GOVERNMENTS
dc.subject MACROECONOMIC STABILIZATION
dc.subject MANAGERS
dc.subject MARKET DISTORTIONS
dc.subject MATURITY
dc.subject MINES
dc.subject NATURAL RESOURCES
dc.subject NONBANK FINANCIAL INSTITUTIONS
dc.subject PLANT OPERATIONS
dc.subject POLICY ENVIRONMENT
dc.subject PRODUCERS
dc.subject PRODUCTION TECHNOLOGY
dc.subject PRODUCTIVITY
dc.subject PROFITABILITY
dc.subject PROPERTY RIGHTS
dc.subject PUBLIC GOODS
dc.subject SAFETY
dc.subject SOCIAL NETWORKS
dc.subject TAX COLLECTION
dc.subject TAX RATES
dc.subject TAXATION
dc.subject TRANSACTION COSTS
dc.subject TRANSPORT
dc.subject URBANIZATION
dc.subject USER CHARGES
dc.subject WAGES
dc.subject WASTE
dc.subject WORKERS
dc.title Business Environment, Clustering, and Industry Location : Evidence from Indian Cities en
dspace.entity.type Publication
okr.doctype Publications & Research :: Policy Research Working Paper
okr.doctype Publications & Research
okr.docurl http://documents.worldbank.org/curated/en/2005/08/6180790/business-environment-clustering-industry-location-evidence-indian-cities
okr.identifier.doi 10.1596/1813-9450-3675
okr.identifier.externaldocumentum 000016406_20050803103614
okr.identifier.internaldocumentum 6180790
okr.identifier.report WPS3675
okr.language.supported en
okr.pdfurl http://www-wds.worldbank.org/external/default/WDSContentServer/WDSP/IB/2005/08/03/000016406_20050803103614/Rendered/PDF/wps3675.pdf en
okr.region.administrative South Asia
okr.region.country India
okr.unit Development Research Group (DECRG)
okr.volume 1 of 1
relation.isAuthorOfPublication 1bad1919-f70a-5855-b415-77aa5d72f22d
relation.isAuthorOfPublication 579e88a3-4453-57ed-a1e9-6e953277ae0f
relation.isSeriesOfPublication 26e071dc-b0bf-409c-b982-df2970295c87
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