Convergence Clubs and Spatial Externalities: Models and Applications of Regional Convergence in Europe
ISBN/ASIN: 9783642316258,9783642316265 | 2013 | English | pdf | 246/254 pages | 2.85 Mb
Publisher: Springer-Verlag Berlin Heidelberg | Author: Stilianos Alexiadis (auth.) | Edition: 1
Do dynamic externalities, in the form of technology creation, adoption and spatial agglomeration shape the pattern of regional growth in Europe? This study provides an alternative view on regional convergence. A model is developed which attributes club-convergence to existing differences with respect to the degree of technology adoption. In the first instance, empirical results suggest that the NUTS-2 regions of the EU-27 converge at a very slow rate. Further tests, however, indicate that convergence is restricted to a specific subset of regions. Such conclusions are tested further, using an alternative model of club-convergence, which incorporates the impact of spatial interaction, agglomeration externalities and technology. This shows that the convergence-club in Europe follows a certain geographical pattern and all members share similar characteristics regarding technology creation and adoption, and agglomeration externalities.