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Regional economic resilience in the European Union: a numerical general equilibrium analysis

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Abstract

Using a spatial general equilibrium model, this paper investigates the resilience of EU regions under three alternative recessionary shocks, each of them activating different economic adjustments and mechanisms. We measure the vulnerability, resistance, and recoverability of regions and we identify key regional features affecting the ability of regions to withstand to and recover from unexpected external shocks. The analysis reveals that the response of regions varies according to the nature of the external disturbance and to the pre-shock regional characteristics. Finally, it seems that resilience also depends on factors' mobility.

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  • Filippo Di Pietro & Patrizio Lecca & Simone Salotti, 2020. "Regional economic resilience in the European Union: a numerical general equilibrium analysis," JRC Working Papers on Territorial Modelling and Analysis 2020-03, Joint Research Centre.
    • Handle: RePEc:ipt:termod:202003
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    23. Grant Allan & Gioele Figus & Peter G. McGregor & J. Kim Swales, 2021. "Resilience in a behavioural/Keynesian regional model," Environment and Planning A, , vol. 53(4), pages 858-876, June.

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    More about this item

    Keywords

    Rhomolo; Region; Growth; computable general equilibrium model; regional economic resilience; economic shocks.;
    All these keywords.

    JEL classification:

    • C68 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Computable General Equilibrium Models
    • R13 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - General Equilibrium and Welfare Economic Analysis of Regional Economies
    • R15 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Econometric and Input-Output Models; Other Methods

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