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Regional efficiency of knowledge economy in the new EU countries: The Romanian and Bulgarian case

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  • Roman, Monica

Abstract

The economic success is more and more based on upon the effective utilization of intangible assets such as knowledge, skills and innovative potential as the key resource for competitive advantage. For transition countries, such as Romania and Bulgaria, the efficiency of research and development activities is particularly important, since technological progress is one of the core aspects of economic growth. In this article we describe the common features of the two countries, but also the existing differences in respect with knowledge based economy. There are significant regional differences within the countries and marginal regions must close the gap with more developed regions. The paper analyzes research efficiency at the regional level for NUTS2 regions from Romania and Bulgaria between 2003 and 2005, applying a DEA framework. Our main finding is that Bulgarian regions are more efficient in R&D activities compared to Romanian ones. The only Romanian efficient region is Bucuresti Ilfov, while the other two efficient regions are rather small Bulgarian regions, with fewer resources. They show a remarkably high level of research efficiency, whereas some of the larger regions (both from Romania and Bulgaria) lag behind.

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Bibliographic Info

Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 23083.

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Date of creation: Feb 2010
Date of revision: Feb 2010
Handle: RePEc:pra:mprapa:23083

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Keywords: regions; knowledge economy; transition countries; efficiency; DEA;

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References

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  1. Karkazis, John & Thanassoulis, Emmanuel, 1998. "Assessing the effectiveness of regional development policies in Northern Greece using data envelopment analysis," Socio-Economic Planning Sciences, Elsevier, vol. 32(2), pages 123-137, June.
  2. Francesco Caselli & Wilbur John Coleman II, 2001. "Cross-Country Technology Diffusion: The Case of Computers," NBER Working Papers 8130, National Bureau of Economic Research, Inc.
  3. BOURDEAU-LEPAGE, Lise & KOLAROVA,Desislava, 2005. "Knowledge Society and Transition Economies The Bulgarian Challenge," LEG - Document de travail - Economie 2005-05, LEG, Laboratoire d'Economie et de Gestion, CNRS, Université de Bourgogne.
  4. Zizi Goschin & Daniela-L. Constantin & Monica Roman & Bogdan Ileanu, 2008. "The current state and dynamics of regional disparities in Romania," Romanian Journal of Regional Science, Romanian Regional Science Association, vol. 2(2), pages 80-105, December.
  5. Steven G. Allen, 1996. "Technology and the Wage Structure," NBER Working Papers 5534, National Bureau of Economic Research, Inc.
  6. Jens Schmidt-Ehmcke & Petra Zloczysti, 2009. "Research Efficiency in Manufacturing: An Application of DEA at the Industry Level," Discussion Papers of DIW Berlin 884, DIW Berlin, German Institute for Economic Research.
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Cited by:
  1. M. Foddi & S. Usai, 2012. "Regional innovation performance in Europe," Working Paper CRENoS 201221, Centre for North South Economic Research, University of Cagliari and Sassari, Sardinia.
  2. Gheorghe ZAMAN & Zizi Goschin, 2012. "Industrial R&D Investment In Eu: Recent Trends And Lessons For Romania," Romanian Journal of Economics, Institute of National Economy, vol. 34(1(43)), pages 68-83, June.

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