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Neoclassical versus Technological Convergence: Some Evidence from the Recent Experience of the Italian Regions

Carluccio Bianchi () and Mario Menegatti
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Carluccio Bianchi: Dipartimento di Economia Politica e Metodi Quantitativi, Universita' di Pavia

Rivista Internazionale di Scienze Sociali, 2008, vol. 116, issue 3, 271-287

Abstract: This paper tests for the existence of neoclassical and/or technological catching up across Italian regions in the last three decades. The test is performed making use of a model based on the decomposition of output growth, similar to that proposed by Dowrick - Rogers (2002). The results imply that while the neoclassical convergence mechanism has occurred, the technological mechanism has failed. A possible explanation of the evidence found is that the regions initially endowed with better technology were subsequently characterised by a greater number of innovations and a higher share of GPD spent on research expenditure, which enabled them to maintain a substantial technological gap. These results suggest the policy conclusion that complete convergence across Italian regions requires the promotion of technological transfers and an increase in R&D expenditure in the least developed regions.

Keywords: Convergence; capital accumulation; technological catching up; italian regions. (search for similar items in EconPapers)
JEL-codes: O41 O47 O49 (search for similar items in EconPapers)
Date: 2008
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