IDEAS home Printed from https://ideas.repec.org/a/sae/inrsre/v21y1998i1p37-58.html

A Review and Comparison of Shift-Share Identities

Author

Listed:
  • Scott Loveridge

    (Community and Economic Development, Extension Service, West Virginia University, Morgantown, WV 26505-6031 USA, lovridg@wvnvms.wvnet.edu)

  • Anne C. Selting

    (National Economic Research Associates, 444 Market Street, Suite 910, San Francisco, CA 94111 USA, AnneSelting@gnera.com)

Abstract

Shift-share analysis is a means of decomposing change. Several alternative shift-share formulations appear in the literature. This research compares seven shift-share models through intra-model component correlations. The widely cited Esteban-Marquillas model performs less well under this test than do the classic model and two of its other derivatives. The Esteban-Marquillas model has other previously undetected weaknesses: 1) some components should logically sum to zero when all sectors and regions are added together, but do not; and 2) some components produce unrealistically high values for small volatile sectors.

Suggested Citation

  • Scott Loveridge & Anne C. Selting, 1998. "A Review and Comparison of Shift-Share Identities," International Regional Science Review, , vol. 21(1), pages 37-58, April.
  • Handle: RePEc:sae:inrsre:v:21:y:1998:i:1:p:37-58
    DOI: 10.1177/016001769802100102
    as

    Download full text from publisher

    File URL: https://journals.sagepub.com/doi/10.1177/016001769802100102
    Download Restriction: no

    File URL: https://libkey.io/10.1177/016001769802100102?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Lewis, W. Cris & Romrell, Douglas, 1991. "Economic Structure and Sources of Change in the Intermountain Region, 1969-1988," Journal of Regional Analysis and Policy, Mid-Continent Regional Science Association, vol. 21(2), pages 1-26.
    2. Wayne C. Curtis, 1972. "Shift-Share Analysis as a Technique in Rural Development Research," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 54(2), pages 267-270.
    3. Isserman, Andrew M. & Merrifield, John, 1982. "The use of control groups in evaluating regional economic policy," Regional Science and Urban Economics, Elsevier, vol. 12(1), pages 43-58, February.
    4. A. P. Thirlwall, 1967. "A Measure Of The ‘Proper Distribution Of Industry’," Oxford Economic Papers, Oxford University Press, vol. 19(1), pages 46-58.
    5. Randall, J N, 1973. "Shift-Share Analysis as a Guide to the Employment Performance of West Central Scotland," Scottish Journal of Political Economy, Scottish Economic Society, vol. 20(1), pages 1-26, February.
    6. Kochanowski, Paul S. & Bartholomew, Wayne & Joray, Paul, 1989. "The Shift-Share Methodology: Deficiencies and Proposed Remedies," Journal of Regional Analysis and Policy, Mid-Continent Regional Science Association, vol. 19(01), pages 1-24.
    7. Bartels, Cornelis P. A. & Nicol, William R. & van Duijn, Jacob J., 1982. "Estimating the impact of regional policy : A review of applied research methods," Regional Science and Urban Economics, Elsevier, vol. 12(1), pages 3-41, February.
    8. Senf, David R., 1988. "Shift-Share Analysis of Rural Retail Trade Patterns," Journal of Regional Analysis and Policy, Mid-Continent Regional Science Association, vol. 18(2), pages 1-15.
    9. Grimes, Paul W. & Ray, Margaret A., 1988. "Right-to-Work Legislation and Employment Growth in the 1980s: A Shift-Share Analysis," Journal of Regional Analysis and Policy, Mid-Continent Regional Science Association, vol. 18(2), pages 1-16.
    10. Victor Fuchs, 1962. "Statistical Explanation Of The Relative Shift Of Manufacturing Among Regions Of The United States," Papers in Regional Science, Wiley Blackwell, vol. 8(1), pages 105-126, January.
    11. Buck, T W & Atkins, M H, 1976. "The Impact of British Regional Policies on Employment Growth," Oxford Economic Papers, Oxford University Press, vol. 28(1), pages 118-132, March.
    12. R. Bradley Hoppes, 1991. "Regional versus Industrial Shift-Share Analysis—With Help from the Lotus Spreadsheet," Economic Development Quarterly, , vol. 5(3), pages 258-267, August.
    13. Selting, Anne C. & Loveridge, Scott, 1994. "Testing Dynamic Shift-Share," Journal of Regional Analysis and Policy, Mid-Continent Regional Science Association, vol. 24(01), pages 1-19.
    14. Moore, Barry & Rhodes, John, 1973. "Evaluating the Effects of British Regional Economic Policy," Economic Journal, Royal Economic Society, vol. 83(329), pages 87-110, March.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Claudia V. Montanía, 2026. "Unraveling region effects with a new Spatial Multifactor Partitioning method," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 75(1), pages 1-18, March.
    2. João Amador & Sónia Cabral, 2008. "The Portuguese Export Performance in Perspective: A Constant Market Share Analysis," Economic Bulletin and Financial Stability Report Articles and Banco de Portugal Economic Studies, Banco de Portugal, Economics and Research Department.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Selting, Anne C. & Loveridge, Scott, 1992. "A Summary Of The Literature On Shift-Share Analysis," Staff Papers 14086, University of Minnesota, Department of Applied Economics.
    2. Aying Liu & Shujie Yao & Zongyi Zhang, 1999. "Economic Growth and Structural Changes in Employment and Investments in China, 1985–94," Economic Change and Restructuring, Springer, vol. 32(3), pages 171-190, October.
    3. Piezas-Jerbi, Ninez & Nee, Coleman, 2009. "Market shares in the post-Uruguay round era: A closer look using shift-share analysis," WTO Staff Working Papers ERSD-2009-14, World Trade Organization (WTO), Economic Research and Statistics Division.
    4. Stephen Fothergill & Graham Gudgin, 1979. "In Defence of Shift-Share," Urban Studies, Urban Studies Journal Limited, vol. 16(3), pages 309-319, October.
    5. Matías Mayor Fernández & Ana Jesús López Menéndez & Rigoberto Pérez Suárez, 2004. "Defining Scenarios through shift - share models. An Application to the regional employment," ERSA conference papers ersa04p454, European Regional Science Association.
    6. J.A. Schofield, 1979. "Macro Evaluations of the Impact of Regional Policy in Britain: a Review of Recent Research1," Urban Studies, Urban Studies Journal Limited, vol. 16(3), pages 251-271, October.
    7. Mayor Fernández, M. & López Menéndez, A.J. & Pérez Suárez, R., 2005. "Escenarios de empleo regional. Una propuesta basada en análisis shift-share/Regionel Employment Scenarios. A Schift-Share Approach," Estudios de Economia Aplicada, Estudios de Economia Aplicada, vol. 23, pages 863-887, Diciembre.
    8. Portnov, B. A. & Etzion, Y., 2000. "Investigating the effects of public policy on the interregional patterns of population growth: the case of Israel," Socio-Economic Planning Sciences, Elsevier, vol. 34(4), pages 239-269, December.
    9. repec:rri:wpaper:201012 is not listed on IDEAS
    10. Jean-Marie Grether & Benjamin Tissot-Daguette, 2021. "Zoom in, zoom out: A shift-share analysis of productivity in Switzerland based on micro data," IRENE Working Papers 21-10, IRENE Institute of Economic Research.
    11. Marlon G. Boarnet, 2001. "Enterprise Zones and Job Creation: Linking Evaluation and Practice," Economic Development Quarterly, , vol. 15(3), pages 242-254, August.
    12. Harry W. Richardson, 1978. "The State of Regional Economics: A Survey Article," International Regional Science Review, , vol. 3(1), pages 1-48, October.
    13. Paul C. Cheshire, 1979. "Inner Areas as Spatial Labour Markets: a Critique of the Inner Area Studies," Urban Studies, Urban Studies Journal Limited, vol. 16(1), pages 29-43, February.
    14. Janaranjana Herath & Tesfa Gebremedhin & Blessing Maumbe, 2010. "A Dynamic Shift Share Analysis of Economic Growth in West Virginia," Working Papers Working Paper 2010-12, Regional Research Institute, West Virginia University.
    15. Ona, Lucia Y. & Freshwater, David & Hudoyo, Agus, 2006. "Economic Impact of Hospital Closure on Rural Communities in Three Southern States: Georgia, Tennessee, and Texas. A Quasi-Experimental Approach," 2006 Annual meeting, July 23-26, Long Beach, CA 21462, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    16. Valente J. Matlaba & Mark Holmes & Philip McCann & Jacques Poot, 2014. "Classic and Spatial Shift-Share Analysis of State-Level Employment Change in Brazil," Advances in Spatial Science, in: Karima Kourtit & Peter Nijkamp & Robert Stimson (ed.), Applied Regional Growth and Innovation Models, edition 127, chapter 0, pages 139-172, Springer.
    17. Dimitris KALLIORAS & Maria TSIAPA & Spyridon ZAPANTIS, 2016. "Spatial Variations Of Employment Change In Greece Over The Early-Crisis Period (2008-2011)," Regional Science Inquiry, Hellenic Association of Regional Scientists, vol. 0(1), pages 61-78, June.
    18. Ona, Lucia Y. & Hudoyo, Agus & Freshwater, David, 2007. "Economic Impact of Hospital Closure on Rural Communities in Three Southern States: A Quasi-Experimental Approach," Journal of Regional Analysis and Policy, Mid-Continent Regional Science Association, vol. 37(2), pages 1-10.
    19. Lionel Artige & Leif Neuss, 2014. "A New Shift-Share Method," Growth and Change, Wiley Blackwell, vol. 45(4), pages 667-683, December.
    20. Ann R. Markusen & Helzi Noponen & Karl Driessen, 1991. "International Trade, Productivity, and U.S. Regional Job Growth: A Shift-Share Interpretation," International Regional Science Review, , vol. 14(1), pages 15-39, April.
    21. Ron Martin & Peter Sunley & Peter Tyler & Ben Gardiner, 2016. "Editor's choice Divergent cities in post-industrial Britain," Cambridge Journal of Regions, Economy and Society, Cambridge Political Economy Society, vol. 9(2), pages 269-299.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:sae:inrsre:v:21:y:1998:i:1:p:37-58. See general information about how to correct material in RePEc.

    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 CitEc recognized a bibliographic reference but did not link an item in RePEc 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 RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: SAGE Publications (email available below). General contact details of provider: .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.