Despite concern about the negative impacts of globalisation on the economies of OECD regions, notably the loss of manufacturing jobs and enterprise relocation, this report presents evidence that region-specific advantages - embedded in specialised firms, skilled labour and innovation capacity - remain a significant source of productivity gain for firms, even for the largest multinational enterprises. A new geography of production is emerging, based around both old and new regional hubs in OECD and non-OECD countries. National and regional governments in OECD countries are looking for ways to
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