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• W1547166664 abstract "Abstract In this paper a categorization of 1,212 European NUTS 3 regions is conducted by means of factor and cluster analysis according to economic structure and spatial characteristics. Subsequently the hypothesis is tested that these region types do explain differences in level and growth of regional income. The resulting 14 region types (10 non-urban and 4 urban) do show differences in regional income per capita and some of them are expected to converge to different steady state levels. In particular, region types with low employment rates obtain lower per capita income on average than others, while those with productivity differentials in favour of industry obtain higher GDP p.c. when judged against region types comparable in their degree of accessibility. In estimating regressions on conditional s-convergence, the inclusion of national dummies shows a reduced speed of convergence (in the total and the western sample) and even divergence in the sample of (former communist) new member states, while the additional inclusion of region type dummies points again to a still low but higher speed of convergence. The estimates indicate significant lower steady state incomes in the peripheral agrarian regions, peripheral industrial regions with a lower productivity differential in favour of industry, peripheral tertiary regions and both types of central regions with low employment rates. A higher steady state income is estimated for metropolitan areas and big agglomerations. JEL Classification: O18, O57, R11, C21 Keywords: Region Types, Cluster Analysis, European Regions, Convergence (ProQuest: ... denotes formulae omitted.) 1. Introduction The purpose of this paper is to find a taxonomy of European regions, which incorporates at the same time geographic location (according to a core-periphery dichotomy but with regional centres also in the periphery) and economic structure (secondary and tertiary sector), as reflected by value added and employment shares and related productivity differentials. Usually empirical studies on regional development compare the regions of interest to a conglomerate average of other regions such as the average of the EU-15 or the EU-25. Rankings of all kind afterwards hide interesting insights because of their pell-mell character. By benchmarking regions to a certain average, deeper insights on region-specific characteristics that might influence direction and speed of regional development are lost. The paper argues that economic structure (i.e. measured on a broad aggregate level), together with spatial conditions such as regional accessibility and density of population matters in determining level and growth of GDP among European regions. European regions are not homogenous, neither are their economies well-behaved in terms of economic structure, nor might their geographic location be an asset in the region's development - a condition which might change with time - i.e centrifugal forces such as urban diseconomies and growing wage differentials might lead to the spread of economic activities from geographical agglomerations to the hinterland, while at the same time agglomerative forces can support the further development of central agglomerations (e.g. Fujita et al. 2001). Urban areas may act as springboards in the economic development process (Scott/Storper 2003), while the political focus on polycentric urban systems consisting of several interacting urban areas may serve both, cohesion (i.e. reducing the dominance of one city) and competitiveness goals (simulating endogenous agglomeration potentials by fostering urban agglomeration, see Waterhout et al. 2005). Not only geography (North-South, core-periphery), also history (East-West and the communist central planners' propensity for high employment shares in industry), and in particular the current level of development, reflected in changing sectoral employment shares, induced through sectoral productivity differentialdevelopment matter (Rowthorn/Ramaswamy 1997; Raiser et al. …" @default.
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• W1547166664 date "2007-07-01" @default.
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• W1547166664 title "European Region Types in EU-25" @default.
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