Industrial Structure and Firm's Agglomeration: A Study on Tunisian Data

Two distinct positions have emerged in recent economic literature to characterize the dynamics of agglomeration of firms. The first emphasizes the importance of specialization, while the other argues the span of diversity. This study analyses the relevance of these two designs in the context of a developing country. I also analyse the effect of the intra and inter-sectoral externalities on the agglomeration of economic activities and the spatial distribution of economic activities in Tunisian context. The article contends that agglomeration of economic activities in the Tunisian context depends on both inter and intra-sectoral externalities and possibly on technological intensity sectors.