Abstract Through theoretical analysis, the theoretical hypothesis that the agglomeration of producer service industry and manufacturing industry in city brings dual effects was verified. Through empirical analysis, the mechanism of the dual effects was studied from the perspectives of city space and value chain. The result shows that keeping other variables constant, a balanced land rent appears in the city, leading the complementary effect of the dual agglomeration to the maximum. The dual agglomeration is proportional to the city scale, and the key city in the region has radiation effect on other cities’ dual agglomeration effects. The shorter the economic distance, the stronger the radiation effect. To analyze the dual economic effect, the influence of the dual agglomeration effect on labor productivity was studied under different city scales. The inverse U type shows the relationship of the dual agglomeration effect and labor productivity.
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Received: 29 May 2012
Published: 15 January 2013
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Corresponding Authors:
LI Qiang
E-mail: ma-brier@163.com
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