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Regional Integration and International Economic Geography in the Portuguese Case - an update

  • Nuno Crespo
  • Maria Paula Fontoura

The effects of the reduction of international trading costs on the internal economic geography of each country have been very scarcely studied in empirical terms. With data for Portugal since its adhesion to the European Union, we analyze the hypotheses put forward by the new economic geography concerning the evolution of the spatial concentration of the manufacturing industry as a whole and of each individual sector. We use four alternative concentration concepts and data disaggregated both at the level of NUTS III (28 regions) and concelhos (275 regions). Results show a dispersion of manufacturing industry, in line with Krugman and Elizondo’s (1996) prediction. Individual sectors show a similar tendency, in contrast with the theoretical hypothesis.

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File URL: http://pascal.iseg.utl.pt/~depeco/wp/wp512008.pdf
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Paper provided by ISEG - School of Economics and Management, Department of Economics, University of Lisbon in its series Working Papers Department of Economics with number 2008/51.

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Date of creation: Oct 2008
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Handle: RePEc:ise:isegwp:wp512008
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Department of Economics, ISEG - School of Economics and Management, University of Lisbon, Rua do Quelhas 6, 1200-781 LISBON, PORTUGAL

Web page: https://aquila1.iseg.ulisboa.pt/aquila/departamentos/EC

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