Asymmetric macroeconomic volatility in European regions
Davide Fiaschi (),
Lisa Gianmoena and
Angela Parenti ()
Spatial Economic Analysis, 2017, vol. 12, issue 2-3, 251-278
Asymmetric macroeconomic volatility in European regions. Spatial Economic Analysis. This paper investigates, on the basis of a theoretical spatial model, the determinants of macroeconomic volatility of per capita gross domestic product (GDP) in a panel of 257 NUTS-2 European regions in 1992–2008, considering positive and negative fluctuations separately. Evidence is found of strong positive spatial dependence, and of considerable asymmetric effects on macroeconomic volatility of sectoral output (its composition and concentration), of composition of aggregate demand, and of other regional/country characteristics. In particular, while public expenditure exerts a stabilizing effect on both types of fluctuations, financial depth amplifies negative fluctuations. Finally, inflation fluctuations and participation in European Monetary Union (EMU) appear to have no effect on macroeconomic volatility.
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1) Track citations by RSS feed
Downloads: (external link)
Access to full text is restricted to subscribers.
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:taf:specan:v:12:y:2017:i:2-3:p:251-278
Ordering information: This journal article can be ordered from
Access Statistics for this article
Spatial Economic Analysis is currently edited by Bernie Fingleton and Danilo Igliori
More articles in Spatial Economic Analysis from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().