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The impact of related variety on the creative employment growth

Luciana Lazzeretti (), Niccolò Innocenti () and Francesco Capone ()
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Luciana Lazzeretti: University of Florence
Francesco Capone: University of Florence

The Annals of Regional Science, 2017, vol. 58, issue 3, 491-512

Abstract: Abstract Cultural and creative industries (CCIs) have recently become highly relevant with regard to creative economy research, as they are considered drivers of regional and urban innovation policies and economic growth. CCIs are a priority sector on the European agenda and represent an excellent opportunity to exit the current economic crisis. In the literature, the most discussed aspect of CCIs is their value creation ability, which is due to a high degree of diversity/variety, and their impact on innovation within the wider economy, which results from the activation of cross-fertilisation processes between different sectors. Evolutionary economic geography (EEG), adopting the recently established approach based on related variety, also emphasises the issues of diversity/variety as determinants of local and urban development and innovation. This interesting and complex theoretical framework has produced a considerable number of empirical studies, none of which has been specifically applied to the creative sector. With the present study, we intended to contribute to the debate on creative economy research and EEG by investigating the impact of variety in CCIs in Italy, following the related-variety approach and using a long-term employment perspective (1991–2011). The results indicated that related variety has an important effect on the growth of creative industries, characterised by high internal connections between different creative activities. Our outcomes also led us to reassess the view held by some, namely, that creative industries can actually make a strong impact on economic growth in the wider economy; this did not appear to emerge in the Italian context, according to the methodologies we used.

JEL-codes: R11 O10 (search for similar items in EconPapers)
Date: 2017
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