This paper explores the relationship between productivity and labour density at the municipality level for the Spanish economy and year 2001. Previous results on the mentioned relationship are confirrmed. Whilst agglomeration e¤ects at NUTs-3 level were important along the 1960s and 1970s, they...

Whilst a great deal of e¤ort has been dedicated to identification of agglomeration effects on labour productivity, the measurement of spatial productivity spillovers is a question that has been addressed only occasionally along the New Economic Geography literature. We estimate agglomeration...