Title
Global labor flow network reveals the hierarchical organization and dynamics of geo-industrial clusters in the world economy.
Abstract
Groups of firms often achieve a competitive advantage through the formation of geo-industrial clusters. Although many exemplary clusters, such as Hollywood or Silicon Valley, have been frequently studied, systematic approaches to identify and analyze the hierarchical structure of the geo-industrial clusters at the global scale are rare. In this work, we use LinkedInu0027s employment histories of more than 500 million users over 25 years to construct a labor flow network of over 4 million firms across the world and apply a recursive network community detection algorithm to reveal the hierarchical structure of geo-industrial clusters. We show that the resulting geo-industrial clusters exhibit a stronger association between the influx of educated-workers and financial performance, compared to existing aggregation units. Furthermore, our additional analysis of the skill sets of educated-workers supplements the relationship between the labor flow of educated-workers and productivity growth. We argue that geo-industrial clusters defined by labor flow provide better insights into the growth and the decline of the economy than other common economic units.
Year
Venue
DocType
2019
arXiv: Social and Information Networks
Journal
Volume
Citations 
PageRank 
abs/1902.04613
1
0.37
References 
Authors
4
7
Name
Order
Citations
PageRank
Jaehyuk Park110.71
Ian B. Wood210.71
Elise Jing310.71
Azadeh Nematzadeh4123.31
Souvik Ghosh5237.36
Michael Conover678342.50
Yong-Yeol Ahn72124138.24