GEOGRAPHY, COST-OF-LIVING, AND DETERMINANTS TO ECONOMIC GROWTH: A STUDY OF THE SWEDISH REGIONS, 1911-1993

Patrik Gustavsson () and Joakim Persson
Additional contact information
Patrik Gustavsson: European Institute of Japanese Studies, Postal: Stockholm School of Economics, P.O. Box 6501, S-113 83 Stockholm, Sweden
Joakim Persson: European Institute of Japanese Studies, Postal: Stockholm School of Economics, P.O. Box 6501, S-113 83 Stockholm, Sweden
Authors registered in the RePEc Author Service: Patrik Gustavsson Tingvall

No 186, EIJS Working Paper Series from Stockholm School of Economics, The European Institute of Japanese Studies

Abstract: This paper analyses determinants to economic growth with a spatial perspective using data on the Swedish counties for the period 1911-1993. We find that the county growth rate of income per capita is strongly related to the growth rate of income per capita in contiguous counties regardless of what explanatory variables are included in the regressions. We also find empirical evidence of geographical spillovers through the income per capita and market size in contiguous counties. In addition, we find that population density and population age structure impact the growth rate of income per capita only when incomes are not adjusted for regional differences in cost-of-living. When correctly adjusting for such differences, which rarely occur in the growth literature that uses regional data, the growth effects of these variables disappear. The regressions also show that the estimated growth effect of net in-migration is negative and statistically significant.

Keywords: Spatial econometrics; Spillovers; Economic Growth; PPP-adjustment; Agglomeration; Population Age Structure; Migration (search for similar items in EconPapers)
JEL-codes: C29 O18 R11 (search for similar items in EconPapers)
Pages: 19 pages
Date: 2003-12-01
New Economics Papers: this item is included in nep-dev, nep-geo, nep-his, nep-ifn and nep-ure
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

Downloads: (external link)
http://swopec.hhs.se/eijswp/papers/eijswp0186.pdf (application/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:hhs:eijswp:0186

Access Statistics for this paper

More papers in EIJS Working Paper Series from Stockholm School of Economics, The European Institute of Japanese Studies The European Institute of Japanese Studies, Stockholm School of Economics, P.O. Box 6501, 113 83 Stockholm, Sweden. Contact information at EDIRC.
Bibliographic data for series maintained by Nanhee Lee ().