Scarcity theory and maritime clusters: From paradox to modelling

Clusters of industry are widely accepted as important aspects of the regional economies wherein they are disposed, since within them, complementarities of the cluster members are witnessed to provide synergies and positive externalities. These forces deliver the cornerstone of collective sustainability, that is exhibited within healthy industrial clusters. One type of clusters that is deemed of distinct reputation, is the sort that is formulated around a core of maritime activity. Maritime clusters are discrete and volatile cases of the concept, since the maritime sector bears exemplary effect on any given economic cycle and simultaneously, markets riddled with shipping activities portray near-perfect competition. Maritime clusters have provided research and practice with a fertile ground to formulate and assess theories, though we are far from a unifying one. In addition, the literature is not without paradox. One paradoxical instance that affects all clusters, is that of the scarcity principle's applicability within the rudiments of a cluster, as it pertains to a domain that hasn't been researched extensively. This work relinquishes a baseline model that deconstructs the scarcity paradox within maritime clusters, that will hopefully provide a feasible stepping stone for further theoretical and empirical research, with distinct implications for management, governance, and policy.