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Technology adoption and club convergence

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  • Alexiadis, Stilianos
  • Tomkins, Judith

Abstract

A model of regional convergence is developed in which the pattern of convergence is attributed to the rate of technological adoption across regions. If absorptive abilities vary across regions, convergence is constrained within a certain group of regions that share common structural characteristics. Whether regions exhibit a pattern of convergence depends on the degree to which infrastructure conditions are appropriate for the adoption of technological improvements. The model is tested using data for the NUTS-2 regions of the EU-27 during the time period 1995-2006. The results suggest that adoption of technology has a significant effect on regional growth patterns in Europe, and hence the analysis has important implications for the direction of regional policy in Europe.

Suggested Citation

  • Alexiadis, Stilianos & Tomkins, Judith, 2010. "Technology adoption and club convergence," MPRA Paper 21137, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:21137
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    2. Ewa Lechman, 2012. "Catching-Up And Club Convergence From Cross-National Perspective A Statistical Study For The Period 1980-2010," Equilibrium. Quarterly Journal of Economics and Economic Policy, Institute of Economic Research, vol. 7(3), pages 95-109, September.
    3. Gianni Guastella & Francesco Timpano, 2012. "Increasing Returns, Decreasing Returns and Regional Economic Convergence in the EU," ERSA conference papers ersa12p344, European Regional Science Association.
    4. Ewa Lechman, 2012. "Technology convergence and digital divides. A country-level evidence for the period 2000–2010," Ekonomia journal, Faculty of Economic Sciences, University of Warsaw, vol. 31.
    5. Gianni Guastella & Francesco Timpano, 2016. "Knowledge, innovation, agglomeration and regional convergence in the EU: motivating place-based regional intervention," Review of Regional Research: Jahrbuch für Regionalwissenschaft, Springer;Gesellschaft für Regionalforschung (GfR), vol. 36(2), pages 121-143, October.

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    More about this item

    Keywords

    Convergence-club; Technological Gap; European Regions;
    All these keywords.

    JEL classification:

    • O18 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure
    • C21 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models
    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes

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