Measures of the Geographic Concentration of Industries: Improving Distance-Based Methods

Abstract

This study introduces two new measures of spatial concentration. The proposed M functions constitute an extension to Ripley's functions (Ripley, 1976, 1977). They allow the evaluation of the relative geographic concentration and co-location of industries in a non-homogeneous spatial framework. Some rigorous comparisons with similar recently developed tools prove the relevance of the M functions in the field of spatial economics.Geographic concentration ; Distance-based methods ; Ripley's K function ; M function