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On the sources of convergence: A close look at the Spanish regions

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  • Angel de la Fuente
  • Vicente Salas Fumás

Abstract

The dominant view in the recent literature on regional convergence seems to be that the evolution of regional incomes in the industrial countries is characterized by very slow but absolute beta convergence. In this paper we challenge this view on the basis of an analysis of the Spanish experience. We develop and estimate a simple descriptive growth model which allows for factor accumulation, technological diffusion and rate effects from human capital and includes fixed regional effects to convergence.

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Paper provided by FEDEA in its series Studies on the Spanish Economy with number 01.

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Handle: RePEc:fda:fdaeee:01

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  7. de la Fuente, Angel, 1996. "On the Sources of Convergence: A Close Look at the Spanish Regions," CEPR Discussion Papers 1543, C.E.P.R. Discussion Papers.
  8. de la Fuente, Angel, 1995. "Catch-up, Growth and Convergence in the OECD," CEPR Discussion Papers 1274, C.E.P.R. Discussion Papers.
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  12. Baumol, William J, 1986. "Productivity Growth, Convergence, and Welfare: What the Long-run Data Show," American Economic Review, American Economic Association, vol. 76(5), pages 1072-85, December.
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