Regional Convergence in Germany: a Geographically Weighted Regression Approach
AbstractAbstract Regional convergence of German labour markets represents a politically important question. Different studies have examined convergence processes in Germany. We derive equations to estimate the speed of convergence on the basis of an extended Solow model. The technique of geographically weighted regression permits a detailed analysis of convergence processes, which has not been conducted for Germany as yet. It allows the estimation of a separate speed of convergence for every region resulting from the local coefficients of the regression equations. The application of this technique to German labour market regions shows regions moving at different speeds towards their steady states. The half-life periods in the model of conditional convergence disperse less than the same coefficients in the absolute convergence model. Moreover, the speed of convergence is substantially slower in the manufacturing sector than in the service sector.
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Bibliographic InfoArticle provided by Taylor & Francis Journals in its journal Spatial Economic Analysis.
Volume (Year): 2 (2007)
Issue (Month): 1 ()
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Other versions of this item:
- Hans-Friedrich Eckey & Reinhold Kosfeld & Matthias Turck, 2006. "Regional Convergence in Germany. A Geographically Weighted Regression Approach," ERSA conference papers ersa06p461, European Regional Science Association.
- C21 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models
- R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes
- R58 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Regional Government Analysis - - - Regional Development Planning and Policy
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