Spatial spillovers and labor productivity convergence in Canada

Puneet Vatsa and Gabriel Pino

Economics Letters, 2023, vol. 230, issue C

Abstract: We analyze labor productivity convergence between and within Canadian provinces by incorporating a spatial lag in a standard empirical neoclassical growth model. Results point to the predominance of inter-sectoral spillover effects. Furthermore, ignoring spatial effects yields smaller convergence estimates.

Keywords: Convergence; Labor productivity; Canada; Spatial econometrics; Fixed effects (search for similar items in EconPapers)
JEL-codes: C23 O47 O51 (search for similar items in EconPapers)
Date: 2023
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Persistent link: https://EconPapers.repec.org/RePEc:eee:ecolet:v:230:y:2023:i:c:s0165176523003014

DOI: 10.1016/j.econlet.2023.111276

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