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Analysis of the Effect of Regional Creativity on Regional Economic Growth within New Economic Geographical Models

Author

Listed:
  • Sohrab Delangizan

    (Faculty of Social Sciences, Razi University, Kermanshah, Iran.)

  • Zahra Dehghan Shabani

    (Faculty of School of Economics, Management & Social Science, Shiraz University, Shiraz, Iran.)

  • Azad Khanzadi

    (Faculty of Social Sciences, Razi University, Kermanshah, Iran.)

  • Mohammadsaeed Zabihidan

    (Faculty of Social Sciences, Razi University, Kermanshah, Iran.)

Abstract

Among the theories explaining the relationship between creativity criteria in cities and economic growth, “Human Capital Theory” by Glaeser and “Creative Class theory” by Florida can be mentioned. Accordingly, present paper aimed at analysis of the creativity effect on regional economic growth and is presented in two theoretical and experimental parts. Considering the results of the current paper, there are no studies within new economic geographical theory in which the creativity explicitly points out to the growth model. In this paper, such research gap is filled and a model is presented within a new economic geographical theory as a theoretical achievement. The growth model is solved as a numerical model through using calibration technique as well as required data and information of Iranian Economic. The results obtained from sensitivity analysis show that the relation between growth and creativity is positive and concave. The concave of this model shows that growth in ration of creativity has the descending returns.

Suggested Citation

  • Sohrab Delangizan & Zahra Dehghan Shabani & Azad Khanzadi & Mohammadsaeed Zabihidan, 2018. "Analysis of the Effect of Regional Creativity on Regional Economic Growth within New Economic Geographical Models," Iranian Economic Review (IER), Faculty of Economics,University of Tehran.Tehran,Iran, vol. 22(3), pages 685-708, Summer.
    • Handle: RePEc:eut:journl:v:22:y:2018:i:3:p:685
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