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Path dependence, place dependence, and the evolution of a patchwork economy: Evidence from Western Australia, 1981-2008

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  • Paul Plummer
  • Matthew Tonts

Abstract

This paper contributes to debates about that application and relevance of evolutionary concepts in the analysis of regional economies. In particular, we address the propostion that geography and history matter in shaping regional economic development by drawing on the concepts and methodology of dynamic econometrics, offering an analysis of Western Australia, 1981-2008. More specifically we test for path and place dependence using data on incomes per capita for regions within the State. The results provide evidence of both path and place dependence, although indicate that there is a degree of heterogeneity in how places are evolving and responding to shocks.

Suggested Citation

  • Paul Plummer & Matthew Tonts, 2013. "Path dependence, place dependence, and the evolution of a patchwork economy: Evidence from Western Australia, 1981-2008," Papers in Evolutionary Economic Geography (PEEG) 1308, Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography, revised May 2013.
    • Handle: RePEc:egu:wpaper:1308
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    File URL: http://econ.geo.uu.nl/peeg/peeg1308.pdf
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    References listed on IDEAS

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    1. Banerjee, Anindya & Dolado, Juan J. & Galbraith, John W. & Hendry, David, 1993. "Co-integration, Error Correction, and the Econometric Analysis of Non-Stationary Data," OUP Catalogue, Oxford University Press, number 9780198288107.
    2. Bernard Fingleton (ed.), 2003. "European Regional Growth," Advances in Spatial Science, Springer, number 978-3-662-07136-6, Fall.
    3. K.W. Clements & P.L. Johnson, 1999. "Minerals and Regional Employment in Western Australia," Economics Discussion / Working Papers 99-19, The University of Western Australia, Department of Economics.
    4. Dopfer,Kurt (ed.), 2005. "The Evolutionary Foundations of Economics," Cambridge Books, Cambridge University Press, number 9780521621991.
    5. Gernot Grabher, 2009. "Yet Another Turn? The Evolutionary Project in Economic Geography," Economic Geography, Taylor & Francis Journals, vol. 85(2), pages 119-127, April.
    6. Gernot Grabher, 2009. "Yet Another Turn? The Evolutionary Project in Economic Geography," Economic Geography, Clark University, vol. 85(2), pages 119-127, April.
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