The Spatial Dynamics of the Securities and Commodities Industry: An Analysis of Growth Share for States and MSA Counties, 1977-1997

This paper investigates the spatial dynamics and characteristics of the securities and commodities industry. The study investigates the observed geography of the securities and commodities industry sector at the metropolitan statistical area (MSA) county scale. The research provides a descriptive analysis of observed growth and identifies high-performing states and MSA counties. Additionally, we examine if the diffusion pattern of securities and commodities activities has followed the general spatial dynamics of the product cycle model at the state scale. At the MSA county scale, the paper considers whether the diffusion pattern of the industry is consistent with Scott’s (1988) OutwardDownward-Across model asserts that economic activities diffuse within MSAs (from central city counties to suburban counties) and down the urban hierarchy (from major MSAs to smaller ones), and by implication, across the landscape. The findings suggest that only limited decentralization within MSAs and limited decentralization down the urban hierarchy has occurred in the securities and commodities industry based on observed growth and relative shares of employment, payroll, and firms.