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Spatial disparities in productivity and industry mix: The case of the European regions

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  • Juan Miguel Benito
  • Roberto Ezcurra

Abstract

This paper applies nonparametric techniques in order to examine the evolution of the entire distribution of regional productivity in the European Union between 1977 and 1999. Likewise, we study the strength of the respective roles played by regional and sectoral factors in the convergence in productivity observed in the European context. To achieve this aim, we consider a new methodology involving a modification of conventional shift-share analysis and various results reported in the literature on personal income distribution. Our results suggest that regional inequality in productivity in the European Union is closely linked to intrinsic differences between regions. Likewise, the analyses performed reveal the major role played by the national component and the spatial dimension in the explanation of regional disparities in the product per worker in the European Union. In addition, our findings support the relevance of one-sector growth models for analysing regional disparities in per capita income.

Suggested Citation

  • Juan Miguel Benito & Roberto Ezcurra, 2004. "Spatial disparities in productivity and industry mix: The case of the European regions," ERSA conference papers ersa04p102, European Regional Science Association.
    • Handle: RePEc:wiw:wiwrsa:ersa04p102
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    2. Escobar, Octavio & Mühlen, Henning, 2019. "Decomposing a decomposition: Within-country differences and the role of structural change in productivity growth," Hohenheim Discussion Papers in Business, Economics and Social Sciences 05-2019, University of Hohenheim, Faculty of Business, Economics and Social Sciences.
    3. Cristiano Perugini & Gaetano Martino, 2008. "Income Inequality Within European Regions: Determinants And Effects On Growth," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 54(3), pages 373-406, September.
    4. Cristiano Perugini, 2008. "Employment and Unemployment in the Italian Provinces," Quaderni del Dipartimento di Economia, Finanza e Statistica 49/2008, Università di Perugia, Dipartimento Economia.
    5. repec:rre:publsh:v:38:y:2008:i:2:p:145-72 is not listed on IDEAS
    6. Cristiano Perugini & Marcello Signorelli, 2007. "Labour Market Performance Differentials and Dynamics in EU-15 Countries and Regions," European Journal of Comparative Economics, Cattaneo University (LIUC), vol. 4(2), pages 209-262, September.
    7. Bruno Bracalente & Cristiano Perugini, 2010. "The components of regional disparities in Europe," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 44(3), pages 621-645, June.
    8. repec:rre:publsh:v:37:y:2007:i:3:p:282-302 is not listed on IDEAS
    9. Cristiano Perugini & Marcello Signorelli, 2005. "Employment Differences, Convergences and Similarities in Italian Provinces," Quaderni del Dipartimento di Economia, Finanza e Statistica 07/2005, Università di Perugia, Dipartimento Economia.
    10. Anastasiya Penska, 2015. "Determinants of Corruption in Ukrainian Regions: Spatial Analysis," Ekonomia journal, Faculty of Economic Sciences, University of Warsaw, vol. 42.
    11. Batóg Jacek & Batóg Barbara, 2007. "Productivity Changes in the European Union: Structural and Competitive Aspects," Folia Oeconomica Stetinensia, Sciendo, vol. 6(1), pages 63-74, January.
    12. Kerstin Enflo, 2010. "Productivity and employment—Is there a trade-off? Comparing Western European regions and American states 1950–2000," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 45(2), pages 401-421, October.
    13. Batóg Barbara & Batóg Jacek & Mojsiewicz Magdalena, 2009. "Application of Kernel Estimation in Analysis of Labour Productivity of the Largest Polish Firms in 2004-2008," Folia Oeconomica Stetinensia, Sciendo, vol. 8(1), pages 126-139, January.
    14. 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).

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