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Regional Economic Resilience, Hysteresis and Recessionary Shocks

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  • Ron Martin

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Abstract

The notion of 'resilience' has recently risen to prominence in several disciplines, and has also entered policy discourse. Yet the meaning and relevance of the concept are far from settled matters. This paper develops the idea of resilience and examines its usefulness as an aid to understanding the reaction of regional economies to major recessionary shocks. But in so doing, it is also argued that the notion of resilience can usefully be combined with that of hysteresis in order to more fully capture the possible reactions of regional economies to major recessions. These ideas are then used as the basis for a preliminary empirical analysis of the UK regions.

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File URL: http://econ.geo.uu.nl/peeg/peeg1018.pdf
File Function: Version December 2010
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Bibliographic Info

Paper provided by Utrecht University, Section of Economic Geography in its series Papers in Evolutionary Economic Geography (PEEG) with number 1018.

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Length: 41 pages
Date of creation: Dec 2010
Date of revision: Dec 2010
Handle: RePEc:egu:wpaper:1018

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Keywords: Regional economic growth; Recessionary shocks; Resilience Hysteresis;

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  1. Hanley, Nick, 1998. "Resilience in social and economic systems: a concept that fails the cost benefit test?," Environment and Development Economics, Cambridge University Press, vol. 3(02), pages 221-262, May.
  2. Valerie Cerra & Sweta Chaman Saxena, 2008. "Growth Dynamics: The Myth of Economic Recovery," American Economic Review, American Economic Association, vol. 98(1), pages 439-57, March.
  3. Ron Martin, 1997. "Regional Unemployment Disparities and their Dynamics," Regional Studies, Taylor & Francis Journals, vol. 31(3), pages 237-252.
  4. Setterfield, Mark, 1998. "History versus Equilibrium: Nicholas Kaldor on Historical Time and Economic Theory," Cambridge Journal of Economics, Oxford University Press, vol. 22(5), pages 521-37, September.
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