Regional Cross-Section Growth Dynamics in the European Community
London School of Economics, The European Institute, Discussion Paper
Posted: 18 Oct 2008
Date Written: 1994
This paper investigates the cross-section growth preformance of 107 European Regions from 1970 to 1990. While previous work has traditionally focused on the cross-section or the time series dimension of the data, this study uses a more general approach based on Markov chains. The observed mobility pattern does not imply convergence in the long run. Furthermore, mobility across per capita output levels turns out to slow down in 1980s. The empirical evidence is consistent with integration and growth theories which do not predict that less favoured regions will catch up with the leading one.
Keywords: European communities, regional growth performance, Markov chains
JEL Classification: O18, O52
Suggested Citation: Suggested Citation