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Agglomeration, Spatial Interaction and Convergence in the EU

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Author Info
Brauninger, Michael
Niebuhr, Annekatrin

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Abstract

We investigate the convergence process among EU regions between 1980-2002 taking into account the effects of spatial heterogeneity and spatial spillover effects. The spatial regimes model allows for different steady-state growth paths. In contrast to previous analyses, the regimes in this paper refer to spatial categories, i.e. we assume that agglomerations, urbanised and rural regions are characterised by group-specific steadystates. Moreover, the regression analysis considers the effects of interaction among neighbouring regions, possibly leading to a spatial dependence of regional growth rates. We check whether spatial dependence is caused by spatial spillovers or based on country effects.

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Paper provided by Hamburg Institute of International Economics in its series Discussion Paper Series with number 26150.

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Date of creation: 2005
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Handle: RePEc:ags:hiiedp:26150

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Keywords: Convergence; agglomeration; European Union; spatial econometrics; quantile regression; International Development; C21; O52; R11;

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  1. Matthieu Crozet & Pamina Koenig, 2005. "The Cohesion vs Growth Tradeoff - Evidence from EU Regions (1980-2000)," ERSA conference papers ersa05p716, European Regional Science Association. [Downloadable!]
  2. Galor, Oded, 1996. "Convergence? Inferences from Theoretical Models," Economic Journal, Royal Economic Society, vol. 106(437), pages 1056-69, July. [Downloadable!] (restricted)
    Other versions:
  3. Bottazzi, Laura & Peri, Giovanni, 2003. "Innovation and spillovers in regions: Evidence from European patent data," European Economic Review, Elsevier, vol. 47(4), pages 687-710, August. [Downloadable!] (restricted)
    Other versions:
  4. Martin, Philippe & Ottaviano, Gianmarco I P, 2001. "Growth and Agglomeration," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 42(4), pages 947-68, November.
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  5. Quah, Danny, 1996. "Regional Convergence Clusters Across Europe," CEPR Discussion Papers 1286, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
  6. Azariadis, Costas & Drazen, Allan, 1990. "Threshold Externalities in Economic Development," The Quarterly Journal of Economics, MIT Press, vol. 105(2), pages 501-26, May. [Downloadable!] (restricted)
  7. Anselin, Luc & Varga, Attila & Acs, Zoltan, 1997. "Local Geographic Spillovers between University Research and High Technology Innovations," Journal of Urban Economics, Elsevier, vol. 42(3), pages 422-448, November. [Downloadable!] (restricted)
  8. Koenker, Roger W & Bassett, Gilbert, Jr, 1978. "Regression Quantiles," Econometrica, Econometric Society, vol. 46(1), pages 33-50, January. [Downloadable!] (restricted)
  9. Fabio Canova, 2004. "Testing for Convergence Clubs in Income Per Capita: A Predictive Density Approach," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 45(1), pages 49-77, 02. [Downloadable!] (restricted)
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  10. Quah, Danny T., 1996. "Regional convergence clusters across Europe," European Economic Review, Elsevier, vol. 40(3-5), pages 951-958, April. [Downloadable!] (restricted)
  11. Martin, Philippe & I.P. Ottaviano, Gianmarco, 1999. "Growing locations: Industry location in a model of endogenous growth," European Economic Review, Elsevier, vol. 43(2), pages 281-302, February. [Downloadable!] (restricted)
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  12. Roger Koenker & Kevin F. Hallock, 2001. "Quantile Regression," Journal of Economic Perspectives, American Economic Association, vol. 15(4), pages 143-156, Fall. [Downloadable!] (restricted)
  13. Roger Koenker & Zhijie Xiao, 2002. "Inference on the Quantile Regression Process," Econometrica, Econometric Society, vol. 70(4), pages 1583-1612, July. [Downloadable!] (restricted)
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