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Regional Convergence in the European Union: Results from a Panel Data Model

  • Jesus Lopez-Rodriguez

    ()

    (Harvard University and University of A Coruña)

This paper evaluates the convergence process for different samples of European Union regions during the period 1982-1999 by using fixed effects panel data regressions. This estimation method allows us to control for unobserved time-invariant heterogeneity in cross-sectional models. The results of growth rates are significantly negatively related to income levels and show that the convergence relationship holds. However when regions are bound to very different steady state positions, convergence to a common income level appears to be impossible.

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File URL: http://www.accessecon.com/pubs/EB/2008/Volume18/EB-08R00001A.pdf
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Article provided by AccessEcon in its journal Economics Bulletin.

Volume (Year): 18 (2008)
Issue (Month): 2 ()
Pages: 1-7

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Handle: RePEc:ebl:ecbull:eb-08r00001
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  1. Jean Pisani-Ferry & Claudine Gouyette & Damien Neven, 1994. "European Integration and Regional Growth," Revue économique, Presses de Sciences-Po, vol. 0(3), pages 703-714.
  2. Jean Pisani-Ferry & Damien Neven & Claudine Gouyette, 1994. "European Integration and Regional Growth," Revue Économique, Programme National Persée, vol. 45(3), pages 703-714.
  3. Gouyette, Claudine & Neven, Damien J, 1994. "Regional Convergence in the European Community," CEPR Discussion Papers 914, C.E.P.R. Discussion Papers.
  4. Giannetti, Mariassunta, 2002. "The effects of integration on regional disparities: Convergence, divergence or both?," European Economic Review, Elsevier, vol. 46(3), pages 539-567, March.
  5. Button, Kenneth J & Pentecost, Eric J, 1995. "Testing for Convergence of the EU Regional Economies," Economic Inquiry, Western Economic Association International, vol. 33(4), pages 664-71, October.
  6. Jan Fagerberg & Bart Verspagen, 1996. "Heading for Divergence? Regional Growth in Europe Reconsidered," Journal of Common Market Studies, Wiley Blackwell, vol. 34(3), pages 431-448, 09.
  7. Islam, Nazrul, 1995. "Growth Empirics: A Panel Data Approach," The Quarterly Journal of Economics, MIT Press, vol. 110(4), pages 1127-70, November.
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