Urban Growth Drivers and Spatial Inequalities: Europe - a Case with Geographically Sticky People
AbstractAnalysts of regional growth differences in the US tend to assume full spatial equilibrium (Glaeser et al, 1995). Flows of people thus indicate changes in the distribution of spatial welfare more effectively than differences in incomes. Research in Europe, however, shows that people tend to be immobile. Even mobility within countries is restricted compared to the US but national boundaries offer particular barriers to spatial adjustment. Thus it is less reasonable to assume full spatial equilibrium in a European context and differences in per capita incomes may persist and signal real spatial welfare differences. Furthermore, it implies that the drivers of what population movement there is, may differ from the drivers of spatial differences in productivity or output growth. This paper analyses the drivers of differential urban growth in the EU both in terms of population and output growth. The results show significant differences in the drivers as well as common ones. They also reveal the extent to which national borders still impede spatial adjustment in Europe. This has important implications for policy and may apply more generally to countries – for example China - less homogeneous than the USA.
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Bibliographic InfoPaper provided by European Institute, LSE in its series LEQS – LSE 'Europe in Question' Discussion Paper Series with number 11.
Date of creation: Jan 2010
Date of revision:
Other versions of this item:
- Paul C. Cheshire and Stefano Magrini, 2009. "Urban Growth Drivers and Spatial Inequalities: Europe - a Case with Geographically Sticky People," Europe in Question Discussion Paper Series of the London School of Economics (LEQs) 1, London School of Economics / European Institute.
- Paul Cheshire & Stefano Magrini, 2008. "Urban Growth Drivers and Spatial Inequalities: Europe - a case with geographically sticky people," Working Papers 2008_32, Department of Economics, University of Venice "Ca' Foscari".
- O18 - Economic Development, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure
- R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes
- R13 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - General Equilibrium and Welfare Economic Analysis of Regional Economies
This paper has been announced in the following NEP Reports:
- NEP-ALL-2010-03-28 (All new papers)
- NEP-EUR-2010-03-28 (Microeconomic European Issues)
- NEP-GEO-2010-03-28 (Economic Geography)
- NEP-URE-2010-03-28 (Urban & Real Estate Economics)
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