In this paper, we provide empirical insights into the level and determinants of geographic concentration using 1996 and 2001 Taiwan manufacturing census data. We found that geographic concentration and its changes are significantly diverse with different industry characteristics. For example, more geographically concentrated industry gets more disintegration and high-tech industry geographic concentration level growths rapidly and regularly. Moreover, we found that the geographic concentration level is determined by own-industry and related-industry scale economies, disintegration and the ease of subcontract. Especially, the increase of related-industry employments will decrease the geographic concentration level.
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