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Convergence and the effects of spatial interaction

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  • Niebuhr, Annekatrin

Abstract

Since the beginning of the 1990s, the issue of income convergence has received considerable attention in economic research. Although a vast number of empirical studies has emerged, evidence on the role of spatial interaction is still rather scarce. The present paper is an attempt to provide additional information on the spatial aspect of convergence. Spatial econometric methods are used to investigate regional convergence in West Germany. The results indicate that spatial interaction is an important element of regional growth. However, considering spatial effects does not alter the general conclusion that regional income growth is characterised by a process of convergence. --

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Bibliographic Info

Paper provided by Hamburg Institute of International Economics (HWWA) in its series HWWA Discussion Papers with number 110.

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Date of creation: 2000
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Handle: RePEc:zbw:hwwadp:26351

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Keywords: Regional convergence; Spatial interaction; Spatial econometrics;

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References

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  1. Funke, Michael & Strulik, Holger, 1999. "Regional growth in West Germany: convergence or divergence?," Economic Modelling, Elsevier, vol. 16(4), pages 489-502, December.
  2. Quah, Danny, 1996. "Twin Peaks: Growth and Convergence in Models of Distribution Dynamics," CEPR Discussion Papers 1355, C.E.P.R. Discussion Papers.
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  9. Quah, Danny T., 1996. "Regional convergence clusters across Europe," European Economic Review, Elsevier, vol. 40(3-5), pages 951-958, April.
  10. Danny Quah, 1996. "Twin Peaks: Growth and Convergence in Models of Distribution Dynamics," CEP Discussion Papers dp0280, Centre for Economic Performance, LSE.
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  14. N. Gregory Mankiw & David Romer & David N. Weil, 1990. "A Contribution to the Empirics of Economic Growth," NBER Working Papers 3541, National Bureau of Economic Research, Inc.
  15. Florax, Raymond & Folmer, Henk, 1992. "Specification and estimation of spatial linear regression models : Monte Carlo evaluation of pre-test estimators," Regional Science and Urban Economics, Elsevier, vol. 22(3), pages 405-432, September.
  16. Funke, Michael & Niebuhr, Annekatrin, 2000. "Spatial R&D spillovers and economic growth : evidence from West Germany," HWWA Discussion Papers 98, Hamburg Institute of International Economics (HWWA).
  17. Quah, Danny, 1996. "Regional Convergence Clusters Across Europe," CEPR Discussion Papers 1286, C.E.P.R. Discussion Papers.
  18. F Stetzer, 1982. "Specifying weights in spatial forecasting models: the results of some experiments," Environment and Planning A, Pion Ltd, London, vol. 14(5), pages 571-584, May.
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