Endowment with infrastructure, human and cultural capital is highly significant for regional economic performance. After clustering the regions, this hypothesis is tested for Austrian, German and Swiss NUTS 3 regions by applying a quantile regression analysis. First results confirm the hypothesis for all factors. However, coefficients differ significantly both between clusters as well as among the quantiles of each cluster. Furthermore, insights into the regions' efficiency in using these factors are generated: investments into region-specific factors will not push the regional economy automatically, but the under- or above-average efficiency has to be taken into account.
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Volume (Year): 145 (2009) Issue (Month): II (June) Pages: 155-185 Download reference. The following formats are available: HTML
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Find related papers by JEL classification: C12 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: General - - - Hypothesis Testing H54 - Public Economics - - National Government Expenditures and Related Policies - - - Infrastructures O15 - Economic Development, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration O18 - Economic Development, Technological Change, and Growth - - Economic Development - - - Regional, Urban, and Rural Analyses Z10 - Other Special Topics - - Cultural Economics - - - General