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Clusters and regional development: the dynamics of agglomeration processes and its contribution to the development of North East region of Romania

Author

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  • Igor Rotaru

    (Alexandru Ioan Cuza University of Iasi, Romania)

Abstract

Purpose – This papers aims to analyze the dynamics of agglomeration processes in the North East region of Romania and to connect the results with the process of deepening of Romania’s European integration. Design/methodology/approach - The research method includes an analysis in dynamic of two economic sectors: agriculture and IT&C. Firstly, I analyzed the transformation of the GDP from 2000 to 2011 so as to gain insights from the evolution of the North East region during the EU accession and economic crisis. Secondly, I used the Location Quotient method in order to assess the agriculture and IT&C sectors in the North East in comparison with the other regions of Romania. Findings – The results show a strong specialization degree in agriculture, where the North East regions has the higher value of the Location Quotient in comparison with the other regions, and a weak specialization in IT&C, where the region ranked 5 from 7 in 2011. At the same time, regarding the IT&C we can see a positive tendency during the years, possibly explained by the presence of one of the most important university centers from the country and by the multinationals that have started to come after the EU accession. The over-representation of the agriculture in the regional economic structure is not specific for the North East region; other four Romanian regions had in 2011 a strong relative specialization in this field. Research limitations/implications – The analysis can be completed using more quantitative indicators like the export value of the sector as compared to total regional export value. The limitation is that in Romania there are no data on exports at the regional level. Originality/value – This analysis uses Location Quotient method in order to compare the levels of specialization across the Romanian regions.

Suggested Citation

  • Igor Rotaru, 2016. "Clusters and regional development: the dynamics of agglomeration processes and its contribution to the development of North East region of Romania," International Journal of Business and Economic Sciences Applied Research (IJBESAR), International Hellenic University (IHU), Kavala Campus, Greece (formerly Eastern Macedonia and Thrace Institute of Technology - EMaTTech), vol. 9(2), pages 99-102, June.
    • Handle: RePEc:tei:journl:v:9:y:2016:i:2:p:99-102
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    References listed on IDEAS

    as
    1. Stirböck, Claudia, 2002. "Relative specialisation of EU regions: an econometric analysis of sectoral gross fixed capital formation," ZEW Discussion Papers 02-36, ZEW - Leibniz Centre for European Economic Research.
    2. Madalina-Stefania Dirzu & Gabriela Carmen Pascariu, 2013. "A Comparative Study on Changes in the Spatial Industry Agglomeration in Eastern EU Developing Countries: Romania vs. Bulgaria," Acta Universitatis Danubius. OEconomica, Danubius University of Galati, issue 9(4), pages 209-220, August.
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    More about this item

    Keywords

    Regional development; clusters; cluster policies;
    All these keywords.

    JEL classification:

    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes

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