Shift-Share Analysis with Spatial Structure: an Application to Italian Industrial Districts

Abstract

Shift-share analysis is a well-known and widely used tool for spatial data analysis, though it presents some weaknesses and limitations. In this paper we aim to extend this technique by introducing a spatial structure in the particular case of Italian industrial districts. This extension is possible due to the use of enterprise legal status, together with activity information, available on the Italian Register of Businesses at the Chambers of Commerce. As far as spatial analysis is concerned, in this work we give a more precise territorial meaning to the theoretical concept of neighbourhood.