“…Many studies in the literature highlight the role of "core" regions in transmitting GDP growth to the national economy over the business cycle through market interactions (Ertur, Le Gallo, & Baumont, 2006;Fingleton & Lopez-Bazo, 2006;Ramajo, Márquez, & Hewings, 2017). Benos, Karagiannis, and Karkalakos (2015) robustly demonstrate that interregional externalities do matter for growth in European regions, regardless of the definition of proximity. By considering different growth model specifications, arising from geographic, economic and technological proximity, they detect the importance of spillovers across regions.…”