How do occupational relatedness and complexity condition employment dynamics in periods of growth and recession?

Emelie Hane-Weijman, Rikard H. Eriksson and David Rigby

No 2011, Papers in Evolutionary Economic Geography (PEEG) from Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography

Abstract: Related diversification has generated considerable interest in policy (smart specialisation) and academic (related branching) circles, linking regional path creation strategies to the capabilities of regions. While previous studies have tended to focus on knowledge- or industry-spaces in regions, we explore the occupation-space. Occupational relatedness and complexity indicators are deployed as independent variables in spatial panel models that account for annual variations in regional employment growth rates in Sweden between 2002 to 2013. Our findings show that in periods of economic expansion, exit from related occupations and entry into complex occupations decreases regional employment growth. These effects are dampened in periods of economic slowdown.

Keywords: related branching; occupation-space; occupational relatedness; complexity; smart specialization; employment growth (search for similar items in EconPapers)
JEL-codes: J21 J24 J62 R11 (search for similar items in EconPapers)
Date: 2020-03, Revised 2020-03
New Economics Papers: this item is included in nep-eur, nep-geo, nep-lma and nep-sbm
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Citations: View citations in EconPapers (2)

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