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Regional Convergence in Germany. A Geographically Weighted Regression Approach

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Author Info
Hans-Friedrich Eckey () (Department of Economics, University of Kassel)
Reinhold Kosfeld () (Department of Economics, University of Kassel)
Matthias Türck () (Department of Economics, University of Kassel)

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Abstract

The convergence of German regions represents a politically explosive question. Different studies examined convergence processes of Germany. We derive equations to estimate the convergence speed on basis of a Solow model, to which human capital is added. The geographically weighted regression permits a detailed analysis of convergence processes, which has not been conducted for Germany so far yet. We estimate a separate speed of convergence for every region, which results from the local coefficients of the regression equations. The application of this procedure to German labour market regions shows that regions move with a different speed towards their steady state level. The half lives are substantially longer in the manufacturing sector than in the service sector. One model even yields tendencies towards divergence of some peripheral regions.

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Publisher Info
Paper provided by University of Kassel, Institute of Economics in its series Discussion Papers in Economics with number 76/05.

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Length: 27 pages
Date of creation: Sep 2005
Date of revision:
Handle: RePEc:kas:wpaper:2005-76

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Related research
Keywords: Regional Convergence; Spatial Econometrics; Geographically Weighted Regression; Räumliche Konvergenz; räumliche Ökonometrie; räumlich-gewichtete Regression;

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Find related papers by JEL classification:
C21 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models
R11 - Urban, Rural, and Regional Economics - - General Regional Economics - - - Analysis of Growth, Development, and Changes
R58 - Urban, Rural, and Regional Economics - - Regional Government Analysis - - - Regional Development Policy

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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Jonathan Temple, 1999. "The New Growth Evidence," Journal of Economic Literature, American Economic Association, vol. 37(1), pages 112-156, March. [Downloadable!] (restricted)
  2. Niebuhr, Annekatrin, 2002. "Spatial Dependence of Regional Unemployment in the European Union," Discussion Paper Series 26147, Hamburg Institute of International Economics. [Downloadable!]
  3. Jens Suedekum, 2006. "Concentration and Specialization Trends in Germany since Re-unification," Regional Studies, Taylor and Francis Journals, vol. 40(8), pages 861-873, November. [Downloadable!] (restricted)
    Other versions:
  4. Jens Suedekum & Uwe Blien, 2004. "Wages and Employment Growth: Disaggregated Evidence for West Germany," ERSA conference papers ersa04p641, European Regional Science Association. [Downloadable!]
    Other versions:
  5. Volker Nitsch, 2000. "National borders and international trade: evidence from the European Union," Canadian Journal of Economics, Canadian Economics Association, vol. 33(4), pages 1091-1105, November. [Downloadable!] (restricted)
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Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Hans-Friedrich Eckey & Thomas Döring & Matthias Türck, 2006. "Convergence of Regions from 23 EU Member States," Discussion Papers in Economics 86/06, University of Kassel, Institute of Economics. [Downloadable!]
  2. Reinhold Kosfeld & Hans-Friedrich Eckey & Jorgen Lauridsen, 2007. "Disparities in Prices and Income Across German NUTS 3 Regions," Discussion Papers in Economics 93/07, University of Kassel, Institute of Economics. [Downloadable!]
    Other versions:
  3. Hans-Friedrich Eckey & Reinhold Kosfeld & Matthias Türck, 2006. "Abgrenzung deutscher Arbeitsmarktregionen," Discussion Papers in Economics 81/06, University of Kassel, Institute of Economics. [Downloadable!]
  4. Reinhold Kosfeld & Christian Dreger & Hans-Friedrich Eckey, 2006. "On the Stability of the German Beveridge Curve - A Spatial Econometric Perspective," Discussion Papers in Economics 82/06, University of Kassel, Institute of Economics. [Downloadable!]
    Other versions:
  5. Hans-Friedrich Eckey & Reinhold Kosfeld & Matthias Türck, 2007. "Anmerkung zur Identifikation von Förderregionen in der "Gemeinschaftsaufgabe"," Discussion Papers in Economics 90/07, University of Kassel, Institute of Economics. [Downloadable!]
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