Scandinavian Working Papers in Economics
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CESIS - Centre of Excellence for Science and Innovation Studies, Royal Institute of Technology KTH/CESIS Working Paper Series in Economics and Institutions of Innovation

No 12:
A Spatial ICT Clusters in Sweden – An Empirical Method to Identify Necessary Conditions for Existence

Charlie Karlsson (), Charlotta Mellander () and Thomas Paulsson ()

Abstract: An empirical method to identify the existence of a spatial cluster is proposed. The method, based upon regression analysis, offers researchers to categorise regions, municipalities, or cities with respect to their over- or under-representation in number of establishments and employment for any arbitrary industry. It is suggested that a necessary condition for the existence of a cluster entails a significant overrepresentation in both the number of establishments as well as in employment for any given sector in a region. Furthermore, this over-representation should be related to the size of the region. The categorisation generated by the proposed method has evident policy implications for any region aiming at developing and supporting a potential or emerging cluster. This paper offers an analysis of the ICT-sector in Sweden, where the proposed method is used to identify potential clusters in the 81 Swedish functional regions. A comparison in time between 1990 and 2000 is also presented.

Keywords: Industrial clusters; agglomeration; economies of scale; ICT sector; functional region; Sweden; (follow links to similar papers)

JEL-Codes: L10; M13; O31; O40; (follow links to similar papers)

22 pages, November 24, 2004

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