Agglomeration economies in European regions: perspectives for objective 1 regions
Economic growth is one of the main European policy objectives of structural funds targeted at objective 1 regions, where development is lagging behind. An empirical analysis on growth differentials over 219 European regions between 2000 and 2010, finds that – controlled for other determinants – objective 1 regions grow in productivity due to higher degrees of specialisation, while other regions grow faster in employment, being embedded in a diverse economic environment.
The type of agglomeration economies, in combination with the structure of the economy, is crucial for future long-term development prospects of regions. Especially the larger objective 1 regions should diversify their economy more to reap long-term convergence prospects. This outcome favours a focus on place-based development, as advocated recently by the European Union.
Authors
Specifications
- Publication title
- Agglomeration economies in European regions
- Publication date
- 15 August 2011
- Publication type
- Publication
- Magazine
- Tijdschrift voor Economische en Sociale Geografie, 102(4), pp 486-494
- Product number
- 92604
