Job hopping, earnings dynamics, and industrial agglomeration in the software publishing industry

Freedman, Matthew L.

doi:10.1016/j.jue.2008.07.002

Cited by 101 publications

(76 citation statements)

References 42 publications

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“…Together, these results mean that although Marshallian turnover does increase with density, the magnitude of this turnover is modest. When this is combined with prior persuasive evidence of job-hopping in certain industries and certain places (e.g., Fallick et al, 2006, Freedman, 2008, this suggests that the agglomeration-turnover relationship often highlighted in the literature is a particular one. It does not seem to apply in all situations.…”

Section: Turnovermentioning

confidence: 88%

“…Fallick, Fleischman, and Rebitzer (2006), for instance, show that mobility rates in California's computer clusters, including the Silicon Valley, are high. Freedman (2008) finds that agglomeration in the software publishing industry to be associated with more turnover in the sense that job durations are shorter and mobility is greater. Wheeler (2008) finds the agglomeration-turnover relationship to be strongest for young workers.…”

Section: Literaturementioning

confidence: 98%

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Marshallian labour market pooling: Evidence from Italy

Andini

Blasio

Duranton

et al. 2013

Regional Science and Urban Economics

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This paper employs a unique Italian data source to take a comprehensive approach to labour market pooling. It jointly considers many different aspects of the agglomeration -labour market relationship, including turnover, learning, matching, and hold up. It also considers labour market pooling from the perspective of both workers and firms and across a range of industries. Overall, the paper finds some support for theories of labour market pooling, but the support is weak. Specifically, there is a general positive relationship of turnover to local population density, which is consistent with theories of agglomeration and uncertainty. There is also evidence of on-the-job learning that is consistent with theories of labour pooling, labour poaching, and hold up. In addition, the paper provides evidence consistent with agglomeration improving job matches. However, the labour market pooling gains that we measure are small in magnitude and seem unlikely to account for a substantial share of the agglomeration benefits accruing to Italian workers and firms. Abstract: This paper employs a unique Italian data source to take a comprehensive approach to labor market pooling. It jointly considers many different aspects of the agglomeration -labor market relationship, including turnover, learning, matching, and hold up. It also considers labor market pooling from the perspective of both workers and firms and across a range of industries. Overall, the paper finds some support for theories of labor market pooling, but the support is weak. Specifically, there is a general positive relationship of turnover to local population density, which is consistent with theories of agglomeration and uncertainty. There is also evidence of on-the-job learning that is consistent with theories of labor pooling, labor poaching, and hold up. In addition, the paper provides evidence consistent with agglomeration improving job matches. However, the labor market pooling gains that we measure are small in magnitude and seem unlikely to account for a substantial share of the agglomeration benefits accruing to Italian worker and firms.Key words: local labor markets, matching, turnover, learning, hold-up, agglomeration jel classification: r23, j60 * We are deeply indebted to the researchers in the Statistics Department of the Bank of Italy who helped us to phrase the questions included in the shiw and sisf special sections on local labor markets. Our sincere thanks as well go to

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Section: Turnovermentioning

confidence: 88%

Section: Literaturementioning

confidence: 98%

Marshallian labour market pooling: Evidence from Italy

Andini

Blasio

Duranton

et al. 2013

Regional Science and Urban Economics

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“…Our paper improves on the existing literature, notably Freedman's (2008) research, by establishing a precise econometric framework to test the relationship between industrial clustering and matching. Moreover, our results are obtained with a more comprehensive data set that includes all manufacturing sectors in the economy.…”

Section: Introductionmentioning

confidence: 86%

“…Work along this line includes Ellison & Glaeser (1997), Maurel & Sedillot (1999), Devereux et al (2004), Duranton & Overman (2005) and Guimarães et al (2007). More direct evidence has been obtained in studies comparing wages across areas [Wheaton & Lewis (2002), Combes et al (2008), Freedman (2008) and Mion & Naticchioni (2009)]. The 1 idea is that higher wages in clusters re ‡ect higher …rm productivity resulting from industry-speci…c external economies.…”

Section: Introductionmentioning

confidence: 99%

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Firm–worker matching in industrial clusters

Figueiredo¹,

Guimarães²,

Woodward³

2013

Journal of Economic Geography

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Standard-Nutzungsbedingungen:Die Dokumente auf EconStor dürfen zu eigenen wissenschaftlichen Zwecken und zum Privatgebrauch gespeichert und kopiert werden.Sie dürfen die Dokumente nicht für öffentliche oder kommerzielle Zwecke vervielfältigen, öffentlich ausstellen, öffentlich zugänglich machen, vertreiben oder anderweitig nutzen.Sofern die Verfasser die Dokumente unter Open-Content-Lizenzen (insbesondere CC-Lizenzen) zur Verfügung gestellt haben sollten, gelten abweichend von diesen Nutzungsbedingungen die in der dort genannten Lizenz gewährten Nutzungsrechte. www.econstor.eu The Institute for the Study of Labor (IZA) in Bonn is a local and virtual international research center and a place of communication between science, politics and business. IZA is an independent nonprofit organization supported by Deutsche Post Foundation. The center is associated with the University of Bonn and offers a stimulating research environment through its international network, workshops and conferences, data service, project support, research visits and doctoral program. IZA engages in (i) original and internationally competitive research in all fields of labor economics, (ii) development of policy concepts, and (iii) dissemination of research results and concepts to the interested public. Terms of use: Documents in D I S C U S S I O N P A P E R S E R I E SIZA Discussion Papers often represent preliminary work and are circulated to encourage discussion. Citation of such a paper should account for its provisional character. A revised version may be available directly from the author.IZA Discussion Paper No. 6016 October 2011 ABSTRACT Firm-Worker Matching in Industrial Clusters *In this paper we use a novel approach and a large Portuguese employer-employee panel data set to study the hypothesis that industrial agglomeration improves the quality of the firmworker matching process. Our method makes use of recent developments in the estimation and analysis of models with high-dimensional fixed effects. Using wage regressions with controls for multiple sources of observed and unobserved heterogeneity we find little evidence that the quality of matching increases with firm's clustering within the same industry. This result supports Freedman's (2008) analysis using U.S. data.JEL Classification: R12, R39, J31

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Headquarters‐subsidiary knowledge strategies at the cluster level

Bathelt

2019

Global Strategy Journal

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Research SummaryThis article examines how multinational enterprises (MNEs) leverage knowledge across clusters. Based on the geographical sources and the contextuality of knowledge, we construct a typology of four MNE knowledge strategies across space: replicating, scouting, connecting, and integrating, and take into consideration their spatial, industrial, and leadership contexts. A fuzzy‐set qualitative comparative analysis of 49 pairs of headquarters‐subsidiary linkages between Canada and China suggests that replicating strategies occur in cluster‐to‐non‐cluster contexts or in fields with a knowledge gap between the two countries, whereas scouting strategies are typical in non‐cluster‐to‐cluster investments. Connecting and integrating strategies are focused on cluster‐to‐cluster contexts. We also find that while connecting occurs in fields where knowledge is locally bounded, integrating takes place in nonlocally bounded contexts. Finally, scouting and integrating strategies are associated with home nationals as subsidiary leaders.Managerial SummaryHow do multinational enterprises (MNEs) transfer knowledge over space between clusters and between other locations? To explore this question, we construct a typology of four MNE knowledge strategies (replicating, scouting, connecting, and integrating) and examine the spatial, industrial, and leadership conditions of each. By examining 49 headquarter‐subsidiary linkages between Canada and China through detailed interviews, we find that replicating strategies occur in cluster‐to‐non‐cluster contexts or industries with a knowledge gap between the two countries, whereas scouting strategies are typical in non‐cluster‐to‐cluster investments. Connecting and integrating strategies are focused on cluster‐to‐cluster contexts. We also find that while connecting occurs in fields where knowledge is locally bounded, integrating dominates where this is not the case. Finally, scouting and integrating strategies are associated with home nationals as subsidiary leaders.

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Job hopping, earnings dynamics, and industrial agglomeration in the software publishing industry

Cited by 101 publications

References 42 publications

Marshallian labour market pooling: Evidence from Italy

Marshallian labour market pooling: Evidence from Italy

Firm–worker matching in industrial clusters

Headquarters‐subsidiary knowledge strategies at the cluster level

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