Innovation, Growth and Quality of Life: a Theoretical Model and an Estimate for the Italian Regions
AbstractABSTRACT. This paper carries out an explanatory investigation into the relationship between socio-institutional conditions, quality of life indicators and economic growth in the Italian regions. Previous studies stress the importance of institutional quality, social capital and social conditions in determining disparities between richer and poorer regions. Building on this literature, we consider a three-sector model of semi-endogenous growth with negative externalities depending on structural and institutional factors that affect the innovative capacity of regional systems (the “social externalities hypothesis”). Simulations based on the scaled stationary system confirm that endogenous socio-economic conditions are crucial for the successful translation of innovation into economic growth. It is suggested that generating a development strategy designed to improve social conditions and well-being in the poorer regions may yield dividends in terms of the effectiveness of public policy and economic development.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by University Library of Munich, Germany in its series MPRA Paper with number 31939.
Date of creation: 28 Jun 2011
Date of revision:
Development; growth; regional disparities; well-being;
Other versions of this item:
- Giorgio D'Agostino & Margherita Scarlato, 2011. "Innovation, Growth and Quality of Life: a Theoretical Model and an Estimate for the Italian Regions," Departmental Working Papers of Economics - University 'Roma Tre' 0138, Department of Economics - University Roma Tre.
- R58 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Regional Government Analysis - - - Regional Development Planning and Policy
- O10 - Economic Development, Technological Change, and Growth - - Economic Development - - - General
- O30 - Economic Development, Technological Change, and Growth - - Technological Change; Research and Development; Intellectual Property Rights - - - General
- C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models
- C61 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Optimization Techniques; Programming Models; Dynamic Analysis
- R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes
- O40 - Economic Development, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General
This paper has been announced in the following NEP Reports:
- NEP-ALL-2011-07-13 (All new papers)
- NEP-CSE-2011-07-13 (Economics of Strategic Management)
- NEP-FDG-2011-07-13 (Financial Development & Growth)
- NEP-GEO-2011-07-13 (Economic Geography)
- NEP-INO-2011-07-13 (Innovation)
- NEP-URE-2011-07-13 (Urban & Real Estate Economics)
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.:
- Stefano Federico, 2010. "Outsourcing versus Integration at Home or Abroad," Temi di discussione (Economic working papers) 742, Bank of Italy, Economic Research and International Relations Area.
- von Tunzelmann, Nick & Wang, Qing, 2007. "Capabilities and production theory," Structural Change and Economic Dynamics, Elsevier, vol. 18(2), pages 192-211, June.
- Gasper, Des, 2010. "Understanding the diversity of conceptions of well-being and quality of life," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 39(3), pages 351-360, June.
- Eicher, Theo S & Turnovsky, Stephen J, 1999. "Non-scale Models of Economic Growth," Economic Journal, Royal Economic Society, vol. 109(457), pages 394-415, July.
- Castellacci, Fulvio & Archibugi, Daniele, 2008.
"The technology clubs: The distribution of knowledge across nations,"
Elsevier, vol. 37(10), pages 1659-1673, December.
- Castellacci, Fulvio, 2008. "The technology clubs: the distribution of knowledge across nations," MPRA Paper 27597, University Library of Munich, Germany.
- Andrés Rodríguez-Pose, 2013.
"Do Institutions Matter for Regional Development?,"
Taylor & Francis Journals, vol. 47(7), pages 1034-1047, July.
- Ravallion Martin, 2010.
"Do Poorer Countries Have Less Capacity for Redistribution?,"
Journal of Globalization and Development,
De Gruyter, vol. 1(2), pages 1-31, December.
- Martin Ravallion, 2011. "Do Poorer Countries Have Less Capacity for Redistribution?," One Pager Chinese 97, International Policy Centre for Inclusive Growth.
- Ravallion, Martin, 2009. "Do poorer countries have less capacity for redistribution ?," Policy Research Working Paper Series 5046, The World Bank.
- Martin Ravallion, 2009. "Do Poorer Countries Have Less Capacity for Redistribution?," One Pager 97, International Policy Centre for Inclusive Growth.
- Francesco Quatraro, 2009. "The diffusion of regional innovation capabilities: Evidence from Italian patent data," Post-Print halshs-00727623, HAL.
- Jones, Charles I, 1995. "R&D-Based Models of Economic Growth," Journal of Political Economy, University of Chicago Press, vol. 103(4), pages 759-84, August.
- Simona Iammarino & Mariacristina Piva & Marco Vivarelli & Nick Von Tunzelmann, 2010.
"Technological capabilities and patterns of cooperation of UK firms: a regional investigation,"
DISCE - Quaderni del Dipartimento di Scienze Economiche e Sociali
Number: dises1058, Università Cattolica del Sacro Cuore, Dipartimenti e Istituti di Scienze Economiche (DISCE).
- Iammarino, Simona & Piva, Mariacristina & Vivarelli, Marco & Von Tunzelmann, Nick, 2009. "Technological Capabilities and Patterns of Cooperation of UK Firms: A Regional Investigation," IZA Discussion Papers 4129, Institute for the Study of Labor (IZA).
- Nijkamp, P. & Abreu, M., 2009. "Regional development theory," Serie Research Memoranda 0029, VU University Amsterdam, Faculty of Economics, Business Administration and Econometrics.
- Guido de Blasio & Giorgio Nuzzo, 2010. "Historical Traditions Of Civicness And Local Economic Development," Journal of Regional Science, Wiley Blackwell, vol. 50(4), pages 833-857.
- Paul M Romer, 1999.
"Endogenous Technological Change,"
Levine's Working Paper Archive
2135, David K. Levine.
- Roberta Capello & Andrea Caragliu & Peter Nijkamp, 2009. "Territorial Capital and Regional Growth: Increasing Returns in Cognitive Knowledge Use," Tinbergen Institute Discussion Papers 09-059/3, Tinbergen Institute.
- Emanuela Marrocu & Raffaele Paci, 2012.
"Education or Creativity: What Matters Most for Economic Performance?,"
Clark University, vol. 88(4), pages 369-401, October.
- E. Marrocu & R. Paci, 2010. "Education or Creativity: what matters most for economic performance?," Working Paper CRENoS 201031, Centre for North South Economic Research, University of Cagliari and Sassari, Sardinia.
- Stefano Federico, 2010. "Outsourcing versus integration at home or abroad and firm heterogeneity," Empirica, Springer, vol. 37(1), pages 47-63, February.
- C. Hirsch & G. Sulis, 2008.
"Schooling, Production Structure and Growth: An Empirical Analysis on Italian Regions,"
Working Paper CRENoS
200821, Centre for North South Economic Research, University of Cagliari and Sassari, Sardinia.
- Hirsch Carina & Sulis Giovanni, 2009. "Schooling, Production Structure and Growth: An Empirical Analysis on Italian Regions," Rivista italiana degli economisti, Società editrice il Mulino, issue 3, pages 395-420.
- Francesco Quatraro, 2010.
"Knowledge Coherence, Variety and economic Growth: Manufacturing Evidence from Italian Regions,"
- Quatraro, Francesco, 2010. "Knowledge coherence, variety and economic growth: Manufacturing evidence from Italian regions," Research Policy, Elsevier, vol. 39(10), pages 1289-1302, December.
- Dixit, Avinash K & Stiglitz, Joseph E, 1977.
"Monopolistic Competition and Optimum Product Diversity,"
American Economic Review,
American Economic Association, vol. 67(3), pages 297-308, June.
- Dixit, Avinash K & Stiglitz, Joseph E, 1975. "Monopolistic Competition and Optimum Product Diversity," The Warwick Economics Research Paper Series (TWERPS) 64, University of Warwick, Department of Economics.
- Partha Dasgupta, 2005. "Economics of Social Capital," The Economic Record, The Economic Society of Australia, vol. 81(s1), pages S2-S21, 08.
- Vittorio Daniele, 2007. "Incentivi economici e disincentivi di contesto: gli investimenti esteri nel Mezzogiorno," RIVISTA DI ECONOMIA E STATISTICA DEL TERRITORIO, FrancoAngeli Editore, vol. 2007(2), pages 5-34.
- David Roodman, 2009.
"A Note on the Theme of Too Many Instruments,"
Oxford Bulletin of Economics and Statistics,
Department of Economics, University of Oxford, vol. 71(1), pages 135-158, 02.
- Thomas Farole & Andrés Rodríguez-Pose & Michael Storper, 2010.
"Cohesion policy in the European Union: Growth, geography, institutions,"
2010-14, Instituto Madrileño de Estudios Avanzados (IMDEA) Ciencias Sociales.
- Thomas Farole & Andrés Rodríguez‐Pose & Michael Storper, 2011. "Cohesion Policy in the European Union: Growth, Geography, Institutions," Journal of Common Market Studies, Wiley Blackwell, vol. 49(5), pages 1089-1111, 09.
- Francesco AIELLO & Valeria PUPO, 2009. "L'impatto della politica regionale dell'Unione Europea. Uno studio sulle regioni italiane," Rivista Italiana degli Economisti, SIE - Societa' Italiana degli Economisti (I), vol. 14(3), pages 421-454, December.
- M Arellano & O Bover, 1990.
"Another Look at the Instrumental Variable Estimation of Error-Components Models,"
CEP Discussion Papers
dp0007, Centre for Economic Performance, LSE.
- Arellano, Manuel & Bover, Olympia, 1995. "Another look at the instrumental variable estimation of error-components models," Journal of Econometrics, Elsevier, vol. 68(1), pages 29-51, July.
- Thomas M. Steger, 2005. "Welfare Implications of Non-scale R&D-based Growth Models," Scandinavian Journal of Economics, Wiley Blackwell, vol. 107(4), pages 737-757, December.
- S. Lodde, 2007. "Human Capital And Productivity Growth In The Italian Regional Economies: A Sectoral Analysis," Working Paper CRENoS 200711, Centre for North South Economic Research, University of Cagliari and Sassari, Sardinia.
- Vicente Royuela & Rosina Moreno & Esther Vaya, 2010. "Influence of Quality of Life on Urban Growth: A Case Study of Barcelona, Spain," Regional Studies, Taylor & Francis Journals, vol. 44(5), pages 551-567.
- Arellano, Manuel & Bond, Stephen, 1991.
"Some Tests of Specification for Panel Data: Monte Carlo Evidence and an Application to Employment Equations,"
Review of Economic Studies,
Wiley Blackwell, vol. 58(2), pages 277-97, April.
- Tom Doan, . "RATS program to replicate Arellano-Bond 1991 dynamic panel," Statistical Software Components RTZ00169, Boston College Department of Economics.
- Dani Rodrik, 2004. "Institutions and Economic Performance - Getting Institutions Right," CESifo DICE Report, Ifo Institute for Economic Research at the University of Munich, vol. 2(2), pages 10-15, October.
- Stefano Fenoaltea, 2007. "I due fallimenti della storia economica: il periodo post-unitario," Rivista di Politica Economica, SIPI Spa, vol. 97(2), pages 341-358, March-Apr.
- d'Agostino, Giorgio & Scarlato, Margherita, 2012. "Inclusive Institutions, Innovation and Economic Growth: Estimates for European Countries," MPRA Paper 43098, University Library of Munich, Germany.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Ekkehart Schlicht).
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.