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Dynamic Externalities and Regional Development: The case of Tunisia

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  • DRIDI, Manel

Abstract

In this paper we seek to estimate the impact of local economic structure on the regional employment growth of 8 mainstream industry sectors in 24 local areas of Tunisia between 2000 and 2009. By referring to new economic geography and the empirical approaches dealing with agglomeration economies and dynamic externalities, we show that regional employment growth in industrial sector in Tunisia is driven mainly by externalities related to specialization while diversity do not seem to be important determinants of regional employment growth. Moreover we find that local competition have a positive significant effect on local employment growth.

Suggested Citation

  • DRIDI, Manel, 2015. "Dynamic Externalities and Regional Development: The case of Tunisia," MPRA Paper 66988, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:66988
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    References listed on IDEAS

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    More about this item

    Keywords

    regional growth; dynamic externalities; industrial structure; regional integration;
    All these keywords.

    JEL classification:

    • O47 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Empirical Studies of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence
    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes
    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)

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