A quantitative method for measuring regional economic resilience to the great recession

Abstract

Regional economic resilience can be defined as an economy’s ability to withstand and recover quickly from shocks. The ability to measure resilience is necessary to developing our understanding of what influences resilience. In this paper, we develop a new, two‐dimensional quantitative measure of resilience using observed differences between expected and actual employment in a region following a shock and distinguish the response to the shock from random variation. We demonstrate one application of this metric to US county‐level employment data to compare county responses to the 2007–2009 national recession and discuss how different regions of the United States responded to the shock of the Great Recession in terms of resilience.

The determinants of economic resilience in rural regions. An examination of the Portuguese case

“…There are different ways to measure regional economic resilience. Ringwood et al (2018) proposed comparing expected and actual employment. However, for the purposes of this paper we will measure the regions' economic resilience by using the employment sensitivity index proposed by Martin (2012):…”

The Economic Resilience of the Austrian Agriculture since the EU Accession

“…Increasingly high profits in agriculture, compared to other sectors, may be followed by overinvestment, which in turn, leads to overexploitation of production capacity, land degradation (Webb et al 2017;Wairiu 2017), decreasing quality of life in rural regions (Volkov et al 2019a), and lowering the long-term resilience level (Kosmas et al 2016). Unreasonably low profit may lead to a migration of skilled workers to other sectors of the economy (Giannakis and Bruggeman 2017) and insufficient investment in machinery and land conservation, which in turn affect yields harvested, decreasing the economic viability and resilience of farms (Ringwood et al 2019). This unusual economic situation where extremely high profit is not considered an absolute positive factor motivates us to include an indicator measuring deviation of income levels between agriculture and the whole economy into our research.…”

Understanding Regional Economic Performance and Resilience in the Uk: Trends Since the Global Financial Crisis

“…Studies that have examined the resilience of US counties include Han and Goetz (2015), who find that the employment level of counties that entered recession earlier had longer downturns and that those adjacent to metro areas experienced more serious shocks. Ringwood et al (2019) measure resilience of US counties over the 2007-9 shock and find that farming-dependent counties in rural locations were the most resilient compared to those reliant on manufacturing.…”