Industrial agglomeration effects in Japan: Productive efficiency, market access, and public fiscal transfer A. Otsuka et al. Industrial agglomeration effects in Japan.

The article discusses a study which examined whether market access, agglomeration economies and public fiscal transfer have a negative or positive effect on the productive efficiency of the regional industries in Japan. The researchers performed a stochastic frontier analysis of a Japanese data set at a prefecture level which consists of estimated industrial and spatial economic activities from 1980 to 2002. They found that the improvement of market access as well as the agglomeration economies have a positive effect on the efficiency of manufactures.