Productivity polarization across regions in Europe

Roberto Basile ()

No 31/2007, Quaderni del Dipartimento di Economia, Finanza e Statistica from Università di Perugia, Dipartimento Economia

Abstract: The regional distribution of labor productivity in Western Europe is characterised by a Core-Periphery spatial pattern: high (low) productivity regions are in a proximate relationship with other high (low) productivity regions. Over the last twenty years, intra-distribution dynamics has generated long-run multiple equilibria with the formation of two clubs of convergence. The observed dynamics can be only marginally explained by nonlinear effects in the accumulation of physical capital. In contrast, the joint effect of spatial dependence and nonlinearities in growth behavior plays a key role in determining multiple equilibria and reinforcing polarization of labor productivity.

Keywords: distribution dynamics; convergence; spatial dependence; Europe (search for similar items in EconPapers)
JEL-codes: C14 C21 R11 R12 (search for similar items in EconPapers)
Pages: 49 pages
Date: 2007-04-10
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (8)

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Related works:
Journal Article: Productivity Polarization across Regions in Europe (2009)
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