Regional policy spillovers: the national impact of demand-side policy in an interregional model of the UK economy
UK regional policy has been advocated as a means of reducing regional disparities and stimulating national growth. However, there is limited understanding of the interregional and national effects of such a policy. This paper uses an interregional computable general equilibrium model to identify the national impact of a policy-induced regional demand shock under alternative labour market closures. Our simulation results suggest that regional policy operating solely on the demand side has significant national impacts. Furthermore, the effects on the nontarget region are particularly sensitive to the treatment of the regional labour market. Keywords: regional CGE modelling, migration, regional development policy
If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Turner, Karen, 2009.
"Negative rebound and disinvestment effects in response to an improvement in energy efficiency in the UK economy,"
Elsevier, vol. 31(5), pages 648-666, September.
- Turner, Karen, 2009. "Negative rebound and disinvestment effects in response to an improvement in energy efficiency in the UK economy," SIRE Discussion Papers 2009-12, Scottish Institute for Research in Economics (SIRE).
- Karen Turner, 2009. "Negative rebound and disinvestment effects in response to an improvement in energy efficiency in the UK economy," Working Papers 0902, University of Strathclyde Business School, Department of Economics.
- Montuenga, Victor & Garcia, Inmaculada & Fernandez, Melchor, 2003. "Wage flexibility: evidence from five EU countries based on the wage curve," Economics Letters, Elsevier, vol. 78(2), pages 169-174, February.
- Harrigan, Frank & McGregor, Peter G. & Dourmashkin, Neil & Perman, Roger & Swales, Kim & Yin, Ya Ping, 1991. "AMOS : A macro-micro model of Scotland," Economic Modelling, Elsevier, vol. 8(4), pages 424-479, October.
- David G. Blanchflower & Andrew J. Oswald, 1995. "The Wage Curve," MIT Press Books, The MIT Press, edition 1, volume 1, number 026202375x, January.
- Blanchflower, David G & Oswald, Andrew J, 1990. " The Wage Curve," Scandinavian Journal of Economics, Wiley Blackwell, vol. 92(2), pages 215-235.
- David G. Blanchflower & Andrew J. Oswald, 1989. "The Wage Curve," NBER Working Papers 3181, National Bureau of Economic Research, Inc.
- Blanchflower, D. & Oswald, A., 1989. "The Wage Curve," Papers 340, London School of Economics - Centre for Labour Economics.
- F Harrlgan & P G McGregor & J K Swales & N Dourmashkin, 1992. "Imperfect Competition in Regional Labour Markets: A Computable General Equilibrium Analysis," Environment and Planning A, , vol. 24(10), pages 1463-1481, October.
- F Harrigan & P G McGregor & J K Swales & N Dourmashkin, 1992. "Imperfect competition in regional labour markets: a computable general equilibrium analysis," Environment and Planning A, Pion Ltd, London, vol. 24(10), pages 1463-1481, October.
- Mark Partridge & Dan Rickman, 1997. "The Dispersion of US State Unemployment Rates: The Role of Market and Non-market Equilibrium Factors," Regional Studies, Taylor & Francis Journals, vol. 31(6), pages 593-606.
- Tapan Biswas & Jo McHardy & Michael Nolan, 2008. "Inter-regional Migration: The UK experience," Working Papers 2008003, The University of Sheffield, Department of Economics, revised Feb 2008.
- Layard, Richard & Nickell, Stephen & Jackman, Richard, 2005. "Unemployment: Macroeconomic Performance and the Labour Market," OUP Catalogue, Oxford University Press, number 9780199279173.
- Layard, Richard & Nickell, Stephen & Jackman, Richard, 1991. "Unemployment: Macroeconomic Performance and the Labour Market," OUP Catalogue, Oxford University Press, number 9780198284345.
- Treyz, George I, et al, 1993. "The Dynamics of U.S. Internal Migration," The Review of Economics and Statistics, MIT Press, vol. 75(2), pages 209-214, May.
- Koh, Young-Kon & Schreiner, Dean F. & Shin, Huijune, 1993. "Comparisons of Regional Fixed Price and General Equilibrium Models," Journal of Regional Analysis and Policy, Mid-Continent Regional Science Association, vol. 23(1).
- Gary Gillespie & Peter Mcgregor & J. Kim Swales & Ya Ping Yin, 2001. "The Displacement and Multiplier Effects of Regional Selective Assistance: A Computable General Equilibrium Analysis," Regional Studies, Taylor & Francis Journals, vol. 35(2), pages 125-139.
- Faggio, Guilia & Nickell, Stephen, 2005. "The responsiveness of wages to labour market conditions in the UK," Labour Economics, Elsevier, vol. 12(5), pages 685-696, October.
- Colin Wren, 2005. "Regional grants: are they worth it?," Fiscal Studies, Institute for Fiscal Studies, vol. 26(2), pages 245-275, June.
- Molho, I, 1982. "Contiguity and Inter-Regional Migration Flows in Great Britain," Scottish Journal of Political Economy, Scottish Economic Society, vol. 29(3), pages 283-297, November.
- Nick Hanley & Karen Turner, 2009. "How do improvements in labour productivity in the Scottish economy affect the UK position on the Environmental Kuznets Curve?," Working Papers 0915, University of Strathclyde Business School, Department of Economics.
- Turner, Karen & Hanley, Nick, 2009. "How do improvements in labour productivity in the Scottish economy affect the UK position on the Environmental Kuznets Curve?," SIRE Discussion Papers 2009-34, Scottish Institute for Research in Economics (SIRE).
- Pissarides, Christopher A & Wadsworth, Jonathan, 1989. "Unemployment and the Inter-regional Mobility of Labour," Economic Journal, Royal Economic Society, vol. 99(397), pages 739-755, September.
- Lee C. Adkins & Dan S. Rickman & Abid Hameed, 2003. "Bayesian Estimation of Regional Production for CGE Modeling," Journal of Regional Science, Wiley Blackwell, vol. 43(4), pages 641-661.
- Mark Partridge & Dan Rickman, 2010. "Computable General Equilibrium (CGE) Modelling for Regional Economic Development Analysis," Regional Studies, Taylor & Francis Journals, vol. 44(10), pages 1311-1328.
- Mark D. Partridge & Dan S. Rickman, 2007. "CGE Modeling for Regional Economic Development Analysis," Economics Working Paper Series 0706, Oklahoma State University, Department of Economics and Legal Studies in Business.
- Partridge, Mark D. & Rickman, Dan S., 2003. "The waxing and waning of regional economies: the chicken-egg question of jobs versus people," Journal of Urban Economics, Elsevier, vol. 53(1), pages 76-97, January.
- Nigel Driffield & Karl Taylor, 2006. "Wage Spillovers, Inter-regional Effects and the Impact of Inward Investment," Spatial Economic Analysis, Taylor & Francis Journals, vol. 1(2), pages 187-205.
- Barnes, Sebastian & Price, Simon & Sebastia Barriel, Maria, 2008. "The elasticity of substitution: evidence from a UK firm-level data set," Bank of England working papers 348, Bank of England.
- Manning, Neil, 1994. "Earnings, Unemployment and Contiguity: Evidence from British Counties 1976-1992," Scottish Journal of Political Economy, Scottish Economic Society, vol. 41(1), pages 43-68, February.
- Moses, Jonathon W. & Letnes, Bjorn, 2004. "The Economic Costs to International Labor Restrictions: Revisiting the Empirical Discussion," World Development, Elsevier, vol. 32(10), pages 1609-1626, October.
- Barth, Erling & Bratsberg, Bernt & Naylor, Robin A. & Raaum, Oddbjørn, 2002. "Explaining Variations in Wage Curves: Theory and Evidence," Memorandum 03/2002, Oslo University, Department of Economics.
- Harris, John R & Todaro, Michael P, 1970. "Migration, Unemployment & Development: A Two-Sector Analysis," American Economic Review, American Economic Association, vol. 60(1), pages 126-142, March.
- Stephen P Millard, 2000. "The effects of increased labour market flexibility in the United Kingdom: theory and practice," Bank of England working papers 109, Bank of England.
- Moss Madden & Andrew B. Trigg, 1990. "Interregional Migration in an Extended Input-Output Model," International Regional Science Review, , vol. 13(1-2), pages 65-85, April. Full references (including those not matched with items on IDEAS)
When requesting a correction, please mention this item's handle: RePEc:pio:envira:v:45:y:2013:i:4:p:814-834. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Neil Hammond)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.