On agglomeration, the irrelevance of manufacturing per se is even clearer. It?s not a coincidence that Twitter, Apple, Google, and Facebook are all located on a narrow corridor between San Jose, Calif. and San Francisco, that all the movie studios are in Los Angeles, or that nonlocal journalism happens overwhelmingly in New York and Washington, D.C. Industry clusters happen in all sectors. But if you look at America?s metropolitan areas, it?s clear that manufacturing-oriented places are relatively poor. The wealthy clusters in the United States are built around things like software, biotechnology and medical devices, higher education, finance, and business services. Places like California, Minneapolis, Seattle, and the Northeast corridor are far richer than the factory-oriented rust belt and Southeast.
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