IDEAS home Printed from https://ideas.repec.org/
MyIDEAS: Log in (now much improved!) to save this article

Unemployment Volatility and Regional Specialization in the European Union

Listed author(s):
  • Roberto Ezcurra
Registered author(s):

    Ezcurra R. Unemployment volatility and regional specialization in the European Union, Regional Studies. This paper examines the link between unemployment volatility and the sectoral composition of economic activity in the regions of the European Union over the period 1980-2004. To that end, different spatial econometric techniques are used that allow the investigation of the role played in this context by spatial effects and geographical spillovers. The results show that unemployment volatility is positively related to regional specialization in the European Union. This finding does not depend on the use in the analysis of absolute or relative specialization measures. [image omitted] Ezcurra R. L'instabilite du chomage et la specialisaiton regionale dans l'Union europeenne, Regional Studies. Cet article cherche a examiner le lien entre l'instabilite du chomage et la structure sectorielle de l'activite economique dans les regions de l'Union europeenne entre 1980 et 2004. Dans ce but, on emploie diverses techniques econometriques qui permettent un examen du role joue dans ce contexte par les effets et les retombees geographiques. Les resultats laissent voir une correlation etroite entre l'instabilite du chomage et la specialisation regionale dans l'Union europeenne. Ce resultat ne depend pas de l'emploi dans l'analyse des mesures de specialisation absolues ou relatives. Chomage Instabilite Specialisaton Regions Union europeenne Ezcurra R. Volatilitat der Arbeitslosigkeit und regionale Spezialisierung in der Europaischen Union, Regional Studies. In diesem Artikel wird die Beziehung zwischen der Volatilitat der Arbeitslosigkeit und der sektoralen Zusammensetzung der Wirtschaftstatigkeit in den Regionen der Europaischen Union im Zeitraum von 1980 bis 2004 beschrieben. Zu diesem Zweck kommen verschiedene raumliche okonometrische Techniken zum Einsatz, die eine Untersuchung der Rolle von raumlichen Effekten und geografischen Ubertragungen in diesem Kontext ermoglichen. Aus den Ergebnissen geht hervor, dass die Volatilitat der Arbeitslosigkeit in der Europaischen Union in einer positiven Beziehung zur regionalen Spezialisierung steht. Dieses Ergebnis hangt nicht davon ab, ob bei der Analyse absolute oder relative Massstabe der Spezialisierung eingesetzt werden. Arbeitslosigkeit Volatilitat Spezialisierung Regionen Europaische Union Ezcurra R. Volatilidad de las tasas de desempleo y especializacion regional en la Union Europea, Regional Studies. Este trabajo estudia la relacion entre la volatilidad de las tasas de desempleo y la composicion sectorial de la actividad economica en las regiones de la Union Europea a lo largo del periodo 1980-2004. Para ello el autor utiliza diferentes tecnicas de econometria espacial que permiten determinar la importancia en este contexto de la localizacion geografica de las distintas regiones. El analisis llevado a cabo muestra que la volatilidad de las tasas de desempleo esta correlacionada positivamente con el nivel de especializacion regional. De hecho, este resultado no depende de la utilizacion en el analisis de medidas de especializacion absolutas o relativas. Desempleo Volatilidad Especializacion Regiones Union Europea

    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.

    File URL: http://www.tandfonline.com/doi/abs/10.1080/00343401003713332
    Download Restriction: Access to full text is restricted to subscribers.

    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.

    Article provided by Taylor & Francis Journals in its journal Regional Studies.

    Volume (Year): 45 (2011)
    Issue (Month): 8 ()
    Pages: 1121-1137

    as
    in new window

    Handle: RePEc:taf:regstd:v:45:y:2011:i:8:p:1121-1137
    DOI: 10.1080/00343401003713332
    Contact details of provider: Web page: http://www.tandfonline.com/CRES20

    Order Information: Web: http://www.tandfonline.com/pricing/journal/CRES20

    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.:

    as
    in new window


    1. Frankel, Jeffrey A & Rose, Andrew K, 1998. "The Endogeneity of the Optimum Currency Area Criteria," Economic Journal, Royal Economic Society, vol. 108(449), pages 1009-1025, July.
    2. Garcia-Mila, Teresa & McGuire, Therese J., 1993. "Industrial mix as a factor in the growth and variability of states' economies," Regional Science and Urban Economics, Elsevier, vol. 23(6), pages 731-748, December.
    3. John E. Wagner & Steven C. Deller, 1998. "Measuring the Effects of Economic Diversity on Growth and Stability," Land Economics, University of Wisconsin Press, vol. 74(4), pages 541-556.
    4. Aki Kangasharju & Sari Pekkala, 2004. "Increasing Regional Disparities in the 1990s: The Finnish Experience," Regional Studies, Taylor & Francis Journals, vol. 38(3), pages 255-267.
    5. Elhorst, J. Paul, 2000. "The Mystery Of Regional Unemployment Differentialsa Survey Of Theoretical And Empirical Explanations," ERSA conference papers ersa00p60, European Regional Science Association.
    6. Gilles Duranton & Henry G. Overman, 2005. "Testing for Localization Using Micro-Geographic Data," Review of Economic Studies, Oxford University Press, vol. 72(4), pages 1077-1106.
    7. Henry G. Overman & Diego Puga, 2002. "Unemployment clusters across Europe's regions and countries," Economic Policy, CEPR;CES;MSH, vol. 17(34), pages 115-148, 04.
    8. Kalemli-Ozcan, Sebnem & Sorensen, Bent E. & Yosha, Oved, 2001. "Economic integration, industrial specialization, and the asymmetry of macroeconomic fluctuations," Journal of International Economics, Elsevier, vol. 55(1), pages 107-137, October.
    9. Julie Le Gallo & Sandy Dall'erba, 2006. "Evaluating the Temporal and Spatial Heterogeneity of the European Convergence Process, 1980-1999," Journal of Regional Science, Wiley Blackwell, vol. 46(2), pages 269-288.
    10. Enrique López-Bazo & Tomás del Barrio & Manuel Artis, 2002. "The regional distribution of Spanish unemployment: A spatial analysis," Papers in Regional Science, Springer;Regional Science Association International, vol. 81(3), pages 365-389.
    11. Anselin, Luc & Bera, Anil K. & Florax, Raymond & Yoon, Mann J., 1996. "Simple diagnostic tests for spatial dependence," Regional Science and Urban Economics, Elsevier, vol. 26(1), pages 77-104, February.
    12. Niles C. Schoening & Larry E. Sweeney, 1992. "Proactive Industrial Development Strategies And Portfolio Analysis," The Review of Regional Studies, Southern Regional Science Association, vol. 22(3), pages 227-238, Winter.
    13. Attaran, Mohsen, 1986. "Industrial Diversity and Economic Performance in U.S. Areas," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 20(2), pages 44-54, July.
    14. Aghion, Philippe & Banerjee, Abhijit, 2005. "Volatility and Growth," OUP Catalogue, Oxford University Press, number 9780199248612.
    15. Taylor, Jim & Bradley, Steve, 1997. "Unemployment in Europe: A Comparative Analysis of Regional Disparities in Germany, Italy and the UK," Kyklos, Wiley Blackwell, vol. 50(2), pages 221-245.
    16. J. C. Dissart, 2003. "Regional Economic Diversity and Regional Economic Stability: Research Results and Agenda," International Regional Science Review, , vol. 26(4), pages 423-446, October.
    17. White, Halbert, 1982. "Maximum Likelihood Estimation of Misspecified Models," Econometrica, Econometric Society, vol. 50(1), pages 1-25, January.
    18. Oded Izraeli & Kevin J. Murphy, 2003. "The effect of industrial diversity on state unemployment rate and per capita income," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 37(1), pages 1-14, 02.
    19. Combes, Pierre-Philippe & Overman, Henry G., 2004. "The spatial distribution of economic activities in the European Union," Handbook of Regional and Urban Economics,in: J. V. Henderson & J. F. Thisse (ed.), Handbook of Regional and Urban Economics, edition 1, volume 4, chapter 64, pages 2845-2909 Elsevier.
    20. John R. Kort, 1981. "Regional Economic Instability and Industrial Diversification in the U.S," Land Economics, University of Wisconsin Press, vol. 57(4), pages 596-608.
    21. Koen Frenken & Frank Van Oort & Thijs Verburg, 2007. "Related Variety, Unrelated Variety and Regional Economic Growth," Regional Studies, Taylor & Francis Journals, vol. 41(5), pages 685-697.
    22. John Baldwin & W. Brown, 2004. "Regional manufacturing employment volatility in Canada: The effects of specialisation and trade," Papers in Regional Science, Springer;Regional Science Association International, vol. 83(3), pages 519-541, 07.
    23. 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.
    24. Charles F. Manski, 1993. "Identification of Endogenous Social Effects: The Reflection Problem," Review of Economic Studies, Oxford University Press, vol. 60(3), pages 531-542.
    25. Fleisher, Belton M & Rhodes, George, 1976. "Unemployment and the Labor Force Participation of Married Men and Women: A Simultaneous Model," The Review of Economics and Statistics, MIT Press, vol. 58(4), pages 398-406, November.
    26. White, Halbert, 1980. "A Heteroskedasticity-Consistent Covariance Matrix Estimator and a Direct Test for Heteroskedasticity," Econometrica, Econometric Society, vol. 48(4), pages 817-838, May.
    27. Davidson, Russell & MacKinnon, James G., 1993. "Estimation and Inference in Econometrics," OUP Catalogue, Oxford University Press, number 9780195060119.
    28. Wagner, John E., 2000. "Regional Economic Diversity: Action, Concept, or State of Confusion," Journal of Regional Analysis and Policy, Mid-Continent Regional Science Association, vol. 30(2).
    29. Andrés Rodríguez-Pose & Ugo Fratesi, 2007. "Regional Business Cycles and the Emergence of Sheltered Economies in the Southern Periphery of Europe," Growth and Change, Wiley Blackwell, vol. 38(4), pages 621-648.
    30. Bernard Trendle, 2006. "Regional economic instability: the role of industrial diversification and spatial spillovers," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 40(4), pages 767-778, December.
    31. repec:dgr:rugsom:00c06 is not listed on IDEAS
    32. Simonetta Longhi & Peter Nijkamp & Iulia Traistaru, 2005. "Is Sectoral Diversification a Solution to Unemployment? Evidence from EU Regions," Kyklos, Wiley Blackwell, vol. 58(4), pages 591-610, November.
    Full references (including those not matched with items on IDEAS)

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    When requesting a correction, please mention this item's handle: RePEc:taf:regstd:v:45:y:2011:i:8:p:1121-1137. 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: (Michael McNulty)

    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.

    This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.