Regional convergence across the Finnish provinces and subregions, 1960-94

Sari Pekkala Kerr

Finnish Economic Papers, 1999, vol. 12, issue 1, 28-40

Abstract: This paper analyses the convergence of regional products in Finland using two different data sets. Firstly, β- and σ-convergence was estimated for the 12 Finnish provinces during 1960–94. Convergence was found to be strong in 1960–80, but after 1980 regional disparities started growing again. Secondly, a similar study was conducted for the 88 small-scale subregions in 1988–94. As with the provinces, the subregions’ relative growth performance and cross-sectional convergence dynamics were evaluated using Markov chain transition matrices. No clear evidence for σ- or β-convergence was found here, but the dynamic analysis revealed a rapidly evolving distribution of gross regional products. Thus the type of regional classification and method used can markedly affect the results obtained in a convergence study.

JEL-codes: O4 R1 (search for similar items in EconPapers)
Date: 1999
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Citations: View citations in EconPapers (2)

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Persistent link: https://EconPapers.repec.org/RePEc:fep:journl:v:12:y:1999:i:1:p:28-40

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