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Regional disparities and industrial structure: territorial capital and productivity in Italian firms

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  • Paolo Castelnovo
  • Valentina Morretta
  • Michela Vecchi

Abstract

The role of territorial capital (TC) on the productivity of Italian firms is investigated by constructing indicators for eight dimensions of TC in a first attempt to capture a wide variety of regional resources. When imposing homogeneous TC effects on all firms, it is found that technological, social, institutional, financial and infrastructure capital drive productivity. However, only technological and artistic capital contribute to reduce regional disparities. Across industries, financial capital and infrastructure increase productivity in companies operating in a wide range of sectors. Industrial policies should consider sectoral heterogeneity and north–south differences to effectively boost productivity performance.

Suggested Citation

  • Paolo Castelnovo & Valentina Morretta & Michela Vecchi, 2020. "Regional disparities and industrial structure: territorial capital and productivity in Italian firms," Regional Studies, Taylor & Francis Journals, vol. 54(12), pages 1709-1723, December.
    • Handle: RePEc:taf:regstd:v:54:y:2020:i:12:p:1709-1723
    DOI: 10.1080/00343404.2020.1763941
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    Cited by:

    1. Jin, Wenwan & Zhu, Shengjun, 2023. "High-speed rail network and regional convergence/divergence in industrial structure," Socio-Economic Planning Sciences, Elsevier, vol. 87(PA).
    2. Xiaotuan Li & Panfei Yang & Yuntao Zou, 2023. "An Empirical Investigation of the “Mezzogiorno Trap” in China’s Agricultural Economy: Insights from Data Envelopment Analysis (2015–2021)," Agriculture, MDPI, vol. 13(9), pages 1-30, September.
    3. Roberto Martino, 2021. "Public Investment, Convergence and Productivity Growth in European regions," Working Papers - Economics wp2021_19.rdf, Universita' degli Studi di Firenze, Dipartimento di Scienze per l'Economia e l'Impresa.
    4. Valentina Morretta, 2021. "Territorial capital in local economic endogenous development," Regional Science Policy & Practice, Wiley Blackwell, vol. 13(1), pages 103-119, February.

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