Arbeitspapier

Regional Disparities in the European Union: Convergence and Agglomeration

Economic disparities between the regions of the European Union are of constant concern both for policy and economic research. In this paper we examine whether there are overlapping trends of regional development in the EU: overall convergence on the one hand and persistent or even increasing spatial concentration (agglomeration) on the other. Kernel density estimation, Markov chain analysis and cross-sectional regressions provide evidence that convergence of regional per-capita income in the EU15 has become considerably stronger in the 1990s. The reduction of income disparities, however, is a phenomenon between nations but not between regions within the EU countries. European integration (and possibly European regional policy) foster the catching-up of lagging countries but at the same time forces for agglomeration of economic activities tend to increase disparities within the EU member states. Obviously, the productive advantages of spatial proximity do not vanish in the knowledge economy.

Language
Englisch

Bibliographic citation
Series: Working Paper Series ; No. 2005,4

Classification
Wirtschaft
Semiparametric and Nonparametric Methods: General
Regional Economic Activity: Growth, Development, Environmental Issues, and Changes
Size and Spatial Distributions of Regional Economic Activity
Subject
Regional growth
agglomeration
Markov chains
Entwicklungskonvergenz
Regionale Konzentration
Regionale Disparität
Schätzung
EU-Staaten

Event
Geistige Schöpfung
(who)
Stephan, Andreas
Happich, Michael
Geppert, Kurt
Event
Veröffentlichung
(who)
European University Viadrina, The Postgraduate Research Programme: Capital Markets and Finance in the Enlarged Europe
(where)
Frankfurt (Oder)
(when)
2005

Handle
Last update
10.03.2025, 11:41 AM CET

Data provider

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Object type

  • Arbeitspapier

Associated

  • Stephan, Andreas
  • Happich, Michael
  • Geppert, Kurt
  • European University Viadrina, The Postgraduate Research Programme: Capital Markets and Finance in the Enlarged Europe

Time of origin

  • 2005

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