Technological Transformations and Global Value Chains: Strategic Challenges for Europe and Its Territory

Roberta Capello () and Andrea Caragliu ()
Additional contact information
Roberta Capello: Politecnico Di Milano
Andrea Caragliu: Politecnico Di Milano

A chapter in Digital Economy and Green Growth, 2024, pp 147-162 from Springer

Abstract: Abstract Over the past decade, Europe faced multiple challenges that have already caused structural changes in the way regional growth patterns have been taking place. Among many, these challenges include a substantial restructuring of Global Value Chains, with a reversal of the process of offshoring production towards the EU, and the technological transformations induced by the pervasive diffusion of Industry 4.0 and the digital service economy. Both challenges exert effects that are ex ante expected to be intertwined with other driving forces, most notably related to the structural changes associated with the COVID-19 restrictions, and the presently ongoing Russia-Ukraine conflict. Thus, the well-entangled nature of these challenges makes it hard to separate out their net impacts at the local level. The aim of this paper is to simulate the net effects of technological transformations and global value chains, and isolate their local effects on GDP growth, thanks to a regional macro-econometric forecasting model, called MAcroeconometric, Social, Sectoral, Territorial model in its fifth version (MASST5). Results are presented against the backdrop of a reference scenario, modeling both the long-run trends characterizing the EU economy over the past decade, as well as the long-lasting consequences of both COVID-19 restrictions, and the presently ongoing Russia-Ukraine conflict. Results hint at a remarkable spatial heterogeneity of the impacts of these challenges, both in absolute terms, as well as in terms of regional disparities.

Keywords: Macroeconometric regional growth models; Regional growth; Territorial disparities; Industry 4.0; Digital service economy; Global value chains; R11; O18; O47; O52 (search for similar items in EconPapers)
Date: 2024
References: Add references at CitEc
Citations:

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:spr:conchp:978-3-031-66669-8_8

Ordering information: This item can be ordered from
http://www.springer.com/9783031666698

DOI: 10.1007/978-3-031-66669-8_8

Access Statistics for this chapter

More chapters in Contributions to Economics from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().