There has much recent academic and policy interest in the issue of spatial clustering of economic activity, with most attention paid to the geographic concentration of high-tech industries. This paper describes patterns of geographic and industrial concentration in UK production industries at...

We propose a structural model of investment which is based on the aggregation of (S,s) investment projects within firms. This encompasses the findings that whilst firm level investment is smooth, plant level investment is lumpy and frequently zero. We undertake stochastic aggregation and derive...