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Feeling the heartbeat of regions: local news and economic sentiments

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  • Tom Broekel

Abstract

Timely and spatially detailed indicators of regional economic activity are limited. This article introduces the Regional Economic News Sentiments (REGENS) index, a high-frequency measure based on geocoded news headlines from 300+ German-language outlets since 2019. REGENS captures local economic sentiment, aligns with national indicators, and significantly leads regional unemployment by up to 4 months. While its link to GDP growth is weaker, it consistently reflects regional economic patterns. The study highlights how media signals contribute to understanding economic development and illustrates the potential of text-based indicators to sharpen the spatial and temporal resolution of regional monitoring.

Suggested Citation

  • Tom Broekel, 2025. "Feeling the heartbeat of regions: local news and economic sentiments," Journal of Economic Geography, Oxford University Press, vol. 25(6), pages 937-976.
    • Handle: RePEc:oup:jecgeo:v:25:y:2025:i:6:p:937-976.
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    File URL: http://hdl.handle.net/10.1093/jeg/lbaf031
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    JEL classification:

    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes
    • C55 - Mathematical and Quantitative Methods - - Econometric Modeling - - - Large Data Sets: Modeling and Analysis
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes

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