Returns to Scale for EU Regional Manufacturing

Alvaro Angeriz, John McCombie and Mark Roberts

No 20, Working Papers from Queen Mary, University of London, School of Business and Management, Centre for Globalisation Research

Abstract: Recent theoretical advances have emphasised the importance of localised increasing returns to scale in understanding both the regional growth and agglomeration processes. However, considerable empirical controversy still exists over whether returns to scale are constant or increasing. Consequently, this study aims to provide some new estimates of the degree of returns to scale for EU regional manufacturing. It does so within the framework of the Verdoorn law. Unlike previous studies, issues of specification of fundamental importance to recent theoretical developments are brought to attention. Overall, the paper concludes that localised increasing returns in EU regional manufacturing are substantial.

Keywords: increasing returns; Verdoorn law; manufacturing; productivity growth; spatial econometrics (search for similar items in EconPapers)
JEL-codes: O18 O33 R11 (search for similar items in EconPapers)
Date: 2008-08
New Economics Papers: this item is included in nep-eec, nep-eff and nep-geo
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (36)

Downloads: (external link)
http://cgr.sbm.qmul.ac.uk/CGRWP20.pdf

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:cgs:wpaper:20

Access Statistics for this paper

More papers in Working Papers from Queen Mary, University of London, School of Business and Management, Centre for Globalisation Research Contact information at EDIRC.
Bibliographic data for series maintained by Pedro S. Martins ().