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Agglomeration versus Fragmentation:A Comparison of East Asia and Europe
Inspired by the observed contrasting patterns of industrial distribution in East Asia and Europe,
this paper conducts an empirical clarification of the difference in spatial relationships among
countries within a region for the electric machinery industry by use of spatial econometric
analysis. The results indicate that, while production in the electric machinery industry in a
country is positively correlated with that of neighboring countries in East Asia, there is no
significant spatial correlation in Europe. Such a difference in spatial interdependence has
important implications for economic development in those regions.Agglomeration, Fragmentation, East Asia, Europe, Local industry, Electric industries
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