What kind of related variety for long-term regional growth?
Kadri Kuusk and
Mikhail Martynovich ()
No 1834, Papers in Evolutionary Economic Geography (PEEG) from Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography
We investigate the evolution of relatedness linkages between Swedish industries during five sub-periods between 1991 and 2010. Distinguishing between the stable ties (present in all sub- periods) and non-stable ties (emerging, disappearing, etc), we demonstrate that the relatedness linkages change considerably over time. Furthermore, we show that the changes in the relatedness matrix matter for the impact of related variety on regional employment growth. We argue, therefore, that the relatedness linkages have a ?best before date? and that the choice of what relatedness indicator to apply and how deserves more consideration than it is usually given.
Keywords: relatedness; evolution; related variety; regional growth; skill relatedness; Sweden (search for similar items in EconPapers)
JEL-codes: L16 O33 R11 R12 (search for similar items in EconPapers)
Date: 2018-09, Revised 2018-09
New Economics Papers: this item is included in nep-geo and nep-ure
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