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Concentration and Specialisation Trends in Germany since Reunification

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  • Suedekum, Jens

Abstract

In this paper we describe the development of regional specialisation and geographical concentration in Germany between 1993 and 2001. Somewhat contrary to theoretical expectations derived from the recent literature in location theory, we neither find compelling evidence for a specialisation process of German regions, nor for a concentration process of industries. By and large and with some exceptions, this conclusion holds both for West Germany and Germany as a whole, as well as for all levels of territorial aggregation (NUTS1-NUTS3). Urban areas are stronger specialised than rural districts, but also subject to faster de-specialisation. Those regions, which have increased regional specialisation against the trend, have performed significantly better in terms of employment growth.

Suggested Citation

  • Suedekum, Jens, 2004. "Concentration and Specialisation Trends in Germany since Reunification," Discussion Paper Series 26294, Hamburg Institute of International Economics.
  • Handle: RePEc:ags:hwwadp:26294
    DOI: 10.22004/ag.econ.26294
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    Cited by:

    1. Olga Alonso-Villar & Coral Del RÍo, 2012. "Concentration of Economic Activity: Inequality-Based Measures," Spatial Economic Analysis, Taylor & Francis Journals, vol. 7(2), pages 223-246, June.
    2. Michael Fritsch & Michael Wyrwich, 2014. "The Effect of Regional Entrepreneurship Culture on Economic Development - Evidence for Germany," Papers in Evolutionary Economic Geography (PEEG) 1411, Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography, revised Apr 2014.
    3. Jens Suedekum & Uwe Blien, 2005. "Local Economic Structure and Industry Development in Germany, 1993-2001," Economics Bulletin, AccessEcon, vol. 15(17), pages 1-8.
    4. Sedef Akgüngör & Pinar Falcioglu, 2005. "European Integration and Regional Specialization Patterns in Turkey's Manufacturing Industry," Discussion Paper Series 05/01, Dokuz Eylül University, Faculty of Business, Department of Economics, revised 23 Nov 2005.
    5. Anne Otto & Dirk Fornahl, 2009. "Cohesion Policy:Methodology And Indicators Towards Common Approach," Romanian Journal of Regional Science, Romanian Regional Science Association, vol. 3(1), pages 1-35, JUNE.
    6. Stirboeck, Claudia, 2006. "A Spatial Econometric Analysis of Regional Specialization Patterns across EU Regions," The Review of Regional Studies, Southern Regional Science Association, vol. 36(3), pages 324-361.
    7. Jens Suedekum & Uwe Blien & Johannes Ludsteck, 2006. "What has caused regional employment growth differences in Eastern Germany?," Review of Regional Research: Jahrbuch für Regionalwissenschaft, Springer;Gesellschaft für Regionalforschung (GfR), vol. 26(1), pages 51-73, March.
    8. Florian Noseleit, 2020. "The Role of Entry and Market Selection for the Dynamics of Regional Diversity and Specialization," Regional Studies, Taylor & Francis Journals, vol. 49(1), pages 76-94, July.
    9. Olga Alonso-Villar, 2011. "Measuring concentration: Lorenz curves and their decompositions," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 47(2), pages 451-475, October.
    10. Rosalba Rombaldoni, 2013. "Location models of European manufacturing industry: recent changes and perspectives," Working Papers 1307, University of Urbino Carlo Bo, Department of Economics, Society & Politics - Scientific Committee - L. Stefanini & G. Travaglini, revised 2013.
    11. Pinar Falcioğlu & Sedef Akgüngör, 2008. "Regional Specialization and Industrial Concentration Patterns in the Turkish Manufacturing Industry: An Assessment for the 1980--2000 Period1," European Planning Studies, Taylor & Francis Journals, vol. 16(2), pages 303-323, February.
    12. Olga Alonso-Villar & Coral del Río, 2009. "Geographic Concentration of Economic Activity: An aggregate index," Working Papers 0901, Universidade de Vigo, Departamento de Economía Aplicada.
    13. Titze, Mirko & Brachert, Matthias & Kubis, Alexander, 2008. "The Identification of Regional Industrial Clusters Using Qualitative Input-Output Analysis," IWH Discussion Papers 13/2008, Halle Institute for Economic Research (IWH).
    14. Otto, Anne & Fornahl, Dirk, 2008. "Long-term growth determinants of young businesses in Germany : effects of regional concentration and specialisation," IAB Discussion Paper 200813, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany].
    15. Longhi, Christian & Musolesi, Antonio & Baumont, Catherine, 2014. "Modeling structural change in the European metropolitan areas during the process of economic integration," Economic Modelling, Elsevier, vol. 37(C), pages 395-407.
    16. Sijmons, David & Bakens, Jessie, 2020. "Regional labour market structures," ROA Technical Report 004, Maastricht University, Research Centre for Education and the Labour Market (ROA).
    17. Olga Alonso-Villar, 2008. "What are we assuming when using inequality measures to quantify geographic concentration? An axiomatic approach," Working Papers 0801, Universidade de Vigo, Departamento de Economía Aplicada.
    18. Reinhold Kosfeld & Hans-Friedrich Eckey & Jørgen Lauridsen, 2011. "Spatial point pattern analysis and industry concentration," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 47(2), pages 311-328, October.
    19. Mirko Titze & Matthias Brachert & Alexander Kubis, 2011. "The Identification of Regional Industrial Clusters Using Qualitative Input-Output Analysis (QIOA)," Regional Studies, Taylor & Francis Journals, vol. 45(1), pages 89-102.
    20. Dieter F. Kogler & Jürgen Essletzbichler & David L. Rigby, 2017. "The evolution of specialization in the EU15 knowledge space," Journal of Economic Geography, Oxford University Press, vol. 17(2), pages 345-373.
    21. Südekum, Jens, 2008. "Convergence of the skill composition across German regions," Regional Science and Urban Economics, Elsevier, vol. 38(2), pages 148-159, March.
    22. Rita De Siano & Marcella D'Uva, 2012. "Italian regional specialization: a spatial analysis," Discussion Papers 7_2012, CRISEI, University of Naples "Parthenope", Italy.
    23. Longhi, C. & Musolesi, A. & Baumont, C., 2013. "Modeling the industrial dynamics of the European metropolitan areas during the process of economic integration: a semiparametric approach," Working Papers 2013-10, Grenoble Applied Economics Laboratory (GAEL).

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    More about this item

    Keywords

    Community/Rural/Urban Development;

    JEL classification:

    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • F15 - International Economics - - Trade - - - Economic Integration

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