Abstract Economic spatial agglomeration will generate an effect of labor pooling. In developed countries, this effect will improve the workers’ wage and firms’ revenue through the labor supply and demand matching. In developing countries, through, the effect of labor pooling is improving the probable revenue of firms and reducing the employment risk of workers through lowering the market uncertainty. The public goods property of labor pooling requires the government to manage and maintain it.
2011, Vol. 28 
