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On the predictability of knowledge formation: The tortuous link between regional specialisation and development

Lucas Bretschger

No 04/1999, Wirtschaftswissenschaftliche Diskussionspapiere from University of Greifswald, Faculty of Law and Economics

Abstract: The paper examines the relation between industrial mix and regional productivity growth. For this purpose, a dynamic model of the open economy with differentiated sectoral knowledge formation and incomplete interregional knowledge diffusion is constructed. The theoretical framework is first used to show the consequences of increasing globalisation on regional growth. It is then applied to German regional data in order to investigate whether there is evidence of generally specified patterns of knowledge formation. It emerges that some causal relationships are robust for the case of German regions but cannot be exploited by economic policy in general.

Keywords: Regional growth; sectoral specialisation; knowledge formation; German regions (search for similar items in EconPapers)
JEL-codes: C21 O18 R11 (search for similar items in EconPapers)
Date: 1999
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