364:, Ottaviano investigated the relationship between linguistic diversity across U.S. cities and local productivity over 1970–90; together, they find that wages and employment density of U.S.-born workers were systematically higher, all else equal, in cities with higher linguistic diversity, especially for highly educated and for white workers, and that the relationship was strengthened the better non-native speakers were assimilated in terms of language skills and duration of residence. Further research by Ottaviano and Peri on the value of cultural diversity - as proxied by the diversity of countries of birth of U.S. residents - suggested that US-born citizens living in metropolitan areas with increasing shares of foreign-born residents experienced significant growth in wages and housing values. Their thinking about the effects of immigration on natives' wages turns around the notion that natives and foreigners are inherently imperfectly substitutable even within the same skill group. Using this framework, they showed that immigration to the U.S. in 1990-2006 had small negative short-run effects on native high school dropouts (-0.7%) and average wages (-0.4%), while raising the wages of native high school dropouts and average native wages in the long run by 0.3% and 0.6%, respectively, but depressing the long-run wages of previous immigrants by 6.7%. Another study by Ottaviano with Peri and Greg Wright observed that manufacturing industries with a larger increase in exposure to globalization (through offshoring or immigration) saw improvements in terms of native employment growth relative to less exposed industries. They explain this finding through a model wherein natives, immigrants and offshore workers differ systematically in their ability to apply complex skills and wherein jobs vary in the degree to which their performance requires complex skills. In this framework, the productivity effect related to more efficient task assignment - producers hiring natives, immigrants and offshore workers for different tasks according to their respective comparative advantage - may offset the displacement effect of immigration and offshoring on natives' employment. Finally, with regard to the labour market effects of immigration to Western Germany during the 1990s, Ottaviano - together with Peri and Francesco d'Amuri - found that immigration had a sizeable adverse effect on previous immigrants' employment and a small adverse effect on their wages, while having very little adverse effects on native wages and employments; the authors explain this divergence through the higher substitutability between different groups of immigrants relative to that between immigrants and natives.
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implications for firms' productivity. In earlier work on the internationalisation of
European firms, Ottaviano and Mayer observed that a few high-performing firms drive their countries' international performance, suggesting that economic integration policies should focus on raising the number of international firms rather than "deepening" the international involvement of already internationalized firms.
25:
347:, Ottaviano developed a trade model in which productivity and price mark-ups respond to size and integration of a market through international trade, with higher integration enabling tougher competition and thus also changing the composition of producers and exporters in that market. Expanding this framework in further work with
315:
have shown that the insights from new economic geography models Ă la Dixit and
Stiglitz (1976) do not depend on the choice of modelling framework by developing a distinct modelling framework that yielded the same results. Ottaviano and Thisse's perspective on the relationship between agglomeration
327:, Ottaviano showed how both processes can be mutually self-reinforcing, as agglomeration reduces the cost of innovation and thereby raises growth, while growth further fosters agglomeration as new firms cluster close to the sector from which innovation originates. They similarly showed how growth,
302:
and keep trade costs low, which in turn creates pecuniary externalities fostering economic agglomeration. By affecting trade costs, economic integration then shapes the spatial location of economic activities and explains a range of patterns such as offshoring, local immigration and infra-regional
351:
to firms' product mixes and range of exported products, Ottaviano and Melitz confirmed the claim that tougher competition in an export market induces firms to skew their export sales towards their best performing products, a finding that is confirmed for French exporters and bears important
298:, Ottaviano and Diego Puga reconcile the conclusions of Spence (1976) and Dixit and Stiglitz (1977): stronger competition in local product and factor markets causes spatial dispersion, though firms tend to locate close to large markets in order to take advantage of increasing
335:, Ottaviano and Martin showed how the industrialization and growth take-off of rich northern countries, massive global income divergences and then convergence through trade integration can be explained through changes in trade costs.
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331:, and industrial concentration are mediated through transaction costs and R&D spillovers, with important implications for economic development. In further work with
147:, followed by an associate professorship at Bocconi in 2000, and a full professorship at Bologna in 2002. In 2008, Ottaviano returned to Bocconi before moving to the
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classical core-periphery model through the introduction of heterogeneity in workers' skills and mobility. Moreover, Ottaviano,
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CV of
Gianmarco Ottaviano from the website of the London School of Economics. Retrieved July 3rd, 2019.
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182:(CEPII), among others. In terms of professional service, he performs editorial duties at
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development. In that context, Ottaviano and Rikard
Forslid developed an extension of
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119:, Gianmarco Ottaviano earned a bachelor's degree in Economic and Social Sciences from
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in Geneva in 1994, a doctorate from Bari in 1995 and a Ph.D. in economics under
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408:"Agglomeration in the Global Economy: A Survey of the 'New Economic Geography'"
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Profile of
Gianmarco Ottaviano at Bocconi University. Retrieved July 3rd, 2019.
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in 1998. He then took up a position as assistant professor of economics at the
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539:. Handbook of Regional and Urban Economics. Vol. 4. pp. 2563–2608.
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Ottaviano, Gianmarco; Tabuchi, Takatoshi; Thisse, Jacques-François (2002).
876:"Rethinking the Gains from Immigration: Theory and Evidence from the U.S."
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Baldwin, Richard E.; Martin, Philippe; Ottaviano, Gianmarco I. P. (2001).
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1042:"The labor market impact of immigration in Western Germany in the 1990s"
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920:"Immigration and National Wages: Clarifying the Theory and the Empirics"
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d'Amuri, Francesco; Ottaviano, Gianmarco I.P.; Peri, Giovanni (2010).
609:"Growing locations: Industry location in a model of endogenous growth"
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Ottaviano, Gianmarco I. P.; Peri, Giovanni; Wright, Greg C. (2013).
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Mayer, Thierry; Melitz, Marc J.; Ottaviano, Gianmarco I. P. (2014).
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843:"The economic value of cultural diversity: Evidence from US cities"
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In another study on the link between agglomeration and growth with
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Gianmarco
Ottaviano's research areas include capital movements and
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Graduate
Institute of International and Development Studies alumni
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Centre d'Etudes
Prospectives et d'Informations Internationales
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734:"Market Size, Competition, and the Product Mix of Exporters"
773:"The Happy Few: The Internationalisation of European Firms"
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and economic geography is elaborated in a chapter of the
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Ottaviano, Gianmarco; Thisse, Jacques-François (2004).
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in 1993, a diploma in international economics from the
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in 2013, where he directed the Trade
Programme of the
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Martin, Philippe; Ottaviano, Gianmarco I. P. (2001).
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Profile of
Gianmarco Ottaviano at Bocconi University
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Melitz, Marc J.; Ottaviano, Giancarlo I. P. (2008).
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Martin, Philippe; i.p. Ottaviano, Gianmarco (1999).
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Forslid, Rikard; Ottaviano, Gianmarco I. P. (2003).
962:Ottaviano, Gianmarco I. P.; Peri, Giovanni (2012).
771:Mayer, Thierry; Ottaviano, Gianmarco I. P. (2008).
918:Ottaviano, Gianmarco I.P.; Peri, Giovanni (2008).
874:Ottaviano, Gianmarco I.P.; Peri, Giovanni (2005).
841:Ottaviano, Gianmarco I.P.; Peri, Giovanni (2006).
810:Ottaviano, Gianmarco I.P.; Peri, Giovanni (2005).
533:"Chapter 58 Agglomeration and economic geography"
406:Ottaviano, Gianmarco I. P.; Puga, Diego (1998).
339:Research on the economics of international trade
39:, potentially preventing the article from being
964:"Rethinking the Effect of Immigration on Wages"
439:"An analytically solvable core-periphery model"
172:Centre for Research and Analysis of Migration
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1003:"Immigration, Offshoring, and American Jobs"
968:Journal of the European Economic Association
233:Journal of the European Economic Association
16:Italian economist and professor of economics
133:Graduate Institute of International Studies
1097:Google Scholar page of Gianmarco Ottaviano
1081:Princeton, NJ: Princeton University Press.
290:Research on the economics of agglomeration
59:reliable, independent, third-party sources
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77:Learn how and when to remove this message
318:Handbook of Regional and Urban Economics
53:by replacing them with more appropriate
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36:too closely associated with the subject
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687:"Market Size, Trade, and Productivity"
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478:"Agglomeration and Trade Revisited"
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176:Central Bank Research Association
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980:10.1111/j.1542-4774.2011.01052.x
703:10.1111/j.1467-937X.2007.00463.x
141:Université Catholique de Louvain
34:may rely excessively on sources
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155:, and back to Bocconi in 2019.
153:Centre for Economic Performance
691:The Review of Economic Studies
103:and Professor of Economics at
90:Gianmarco Ireo Paolo Ottaviano
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847:Journal of Economic Geography
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582:International Economic Review
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482:International Economic Review
443:Journal of Economic Geography
239:Journal of Economic Geography
215:Revue RĂ©gion et DĂ©veloppement
96:on September 29, 1967) is an
1007:The American Economic Review
294:Reviewing the literature on
164:Center for Financial Studies
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245:Journal of Regional Science
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652:Journal of Economic Growth
578:"Growth and Agglomeration"
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129:London School of Economics
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197:Spatial Economic Analysis
1046:European Economic Review
922:. Working Paper Series.
738:American Economic Review
613:European Economic Review
191:Italian Economic Journal
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664:10.1023/A:1009876310544
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313:Jacques-François Thisse
284:international migration
227:International Economics
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123:in 1991, followed by a
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878:Working Paper Series.
127:in economics from the
812:"Cities and cultures"
750:10.1257/aer.104.2.495
145:University of Bologna
1142:Migration economists
537:Cities and Geography
276:economic integration
455:10.1093/jeg/3.3.229
360:In joint work with
280:international trade
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860:10.1093/jeg/lbi002
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