A CASE STUDY: EXPLORING INDUSTRIAL AGGLOMERATION OF MANUFACTURING INDUSTRIES IN SHANGHAI USING DURANTON AND OVERMAN’S K-DENSITY FUNCTION

Abstract. There has wide academic and policy attention on the issue of scale economy and industrial agglomeration, with most of the attention paid to industrial geography concentration. This paper adopted a scale-independent and distance-based measurement method, K-density function or known as Duranton and Overman (DO) index, to study the manufacturing industries localization in Shanghai, which is the most representative economic development zone in China and East Asia. The result indicates the industry has a growing tendency of localization, and various spatial distribution patterns in different distances. Furthermore, the class of industry also show significant influence on the concentration pattern. Besides, the method has been coded and published on GeoCommerce, a visualization and analysis portal for industrial big data, to provide geoprocessing and spatial decision support.