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Trade, human capital and innovation: The engines of European regional growth in the 1990s

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  • Badinger, Harald

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  • Tondl, Gabriele

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Abstract

This paper investigates the growth factors of EU regions in the 1990s. We test the hypothesis that regional growth is determined by endogenous growth factors, trade and technological catching-up in a growth accounting framework. Our estimations suggests that growth of EU regions is positively related to the accumulation of physical and human capital. Innovation activity as well as international technology transfer are important for growth. The latter is facilitated if a region is well endowed with human capital. Further, we observe that technological catching-up is promoted by intensive foreign trade, a result which underlines the importance of trade openness for EU regions.

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Paper provided by European Regional Science Association in its series ERSA conference papers with number ersa02p043.

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Date of creation: Aug 2002
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Handle: RePEc:wiw:wiwrsa:ersa02p043

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Citations

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Cited by:
  1. Alessandro STERLACCHINI & Francesco VENTURINI, 2006. "Is Europe becoming a knowledge-driven economy? Evidence from EU developed regions," Working Papers 253, Universita' Politecnica delle Marche (I), Dipartimento di Scienze Economiche e Sociali.
  2. Aurora A.C. Teixeira & Natércia Fortuna, 2006. "Human capital, trade and long-run productivity. Testing the technological absorption hypothesis for the Portuguese economy, 1960-2001," FEP Working Papers 226, Universidade do Porto, Faculdade de Economia do Porto.
  3. Maria ABREU & Henri L.F. DE GROOT & Raymond J.G.M. FLORAX, 2005. "Space And Growth: A Survey Of Empirical Evidence And Methods," Region et Developpement, Region et Developpement, LEAD, Universite du Sud - Toulon Var, vol. 21, pages 13-44.
  4. Jesus Crespo-Cuaresma & Neil Foster-McGregor & Robert Stehrer, 2009. "The Determinants of Regional Economic Growth by Quantile," wiiw Working Papers 54, The Vienna Institute for International Economic Studies, wiiw.
  5. Herbst, Mikolaj & Rok, Jakub, 2013. "Mobility of human capital and its effect on regional economic development. Review of theory and empirical literature," MPRA Paper 45755, University Library of Munich, Germany.
  6. Nuno Carlos LEITÃO, 2012. "ECONOMIC gROWTH, GLOBALIZATION AND TRADE," Management Research and Practice, Research Centre in Public Administration and Public Services, Bucharest, Romania, vol. 4(3), pages 18-24, September.
  7. Leitão, Nuno Carlos, 2012. "The impact of trade on economic growth," MPRA Paper 37425, University Library of Munich, Germany.
  8. Petrakos, George & Dimitris, Kallioras & Ageliki, Anagnostou, 2007. "A Generalized Model of Regional Economic Growth in the European Union," Papers DYNREG12, Economic and Social Research Institute (ESRI).
  9. Alessandro STERLACCHINI, 2006. "Innovation, Knowledge and Regional Economic Performances: Regularities and Differences in the EU," Working Papers 260, Universita' Politecnica delle Marche (I), Dipartimento di Scienze Economiche e Sociali.
  10. Artelaris, Panagiotis & Arvanitidis, Paschalis & Petrakos, George, 2006. "Theoretical and Methodological Study on Dynamic Growth Regions and Factors Explaining their Growth Performance," Papers DYNREG02, Economic and Social Research Institute (ESRI).
  11. Jarko Fidrmuc & Reiner Martin, 2011. "FDI, Trade and Growth in CESEE Countries," Focus on European Economic Integration, Oesterreichische Nationalbank (Austrian Central Bank), issue 1.
  12. Herbst, Mikolaj & Wójcik, Piotr, 2011. "Growth and divergence of the polish subregions over 1995–2006: a search for determinants and spatial patterns," MPRA Paper 34731, University Library of Munich, Germany.
  13. Pavel Elena – Mihaela, 2010. "Role Of The Human Capital In The Growth Of Competitiveness – Implications For Sustainable Development Of Romania," Romanian Economic Business Review, Romanian-American University, vol. 5(4-1), pages 109-119, Winter-Sp.
  14. Nuno Carlos Leitão, 2013. "Cultural Globalization and Economic Growth," Romanian Economic Journal, Department of International Business and Economics from the Academy of Economic Studies Bucharest, vol. 16(47), pages 17-28, March.
  15. Juliana Dahl, 2013. "Innovation and Growth in Regions with Specific Geographical Features," Kiel Advanced Studies Working Papers 463, Kiel Institute for the World Economy.

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