Regional Integration and Specialization Patterns in Spain

Paluzie, Elisenda; Pons, Jordi; Tirado, Daniel A.

doi:10.1080/00343400125457

Cited by 42 publications

(28 citation statements)

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“…These findings complement previous results and provide a new perspective on the evolution of the location pattern of industry in the Spanish regions from the mid19th century through the end of the 20th century Pons, 2002 andTirado, 2001). During that period, the geographic concentration of industrial activity, as noted previously, would seem to have followed an inverted-U shape characterised by an initial phase of growing concentration of industrial production which continued until the 1970s.…”

Section: Empirical Analysissupporting

confidence: 75%

Agglomeration and labour productivity in Spain over the long term

et al. 2007

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Section: Empirical Analysissupporting

confidence: 75%

Agglomeration and labour productivity in Spain over the long term

et al. 2007

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“…The level of spatial concentration of sectoral production across EU countries is investigated by Amiti (1999) and Haaland et al (1999), the one across Spanish regions by Paluzie, Pons and Tirado (2001). These studies have identified a higher level of demand concentration, human capital, stronger scale intensity and intermediate-input intensity of a sector to increase its level of concentration while a high labour intensity seems to de-crease the sector's uneven allocation across space.…”

Section: Non-technical Summarymentioning

confidence: 99%

Comparing Investment and Employment Specialisation Patterns of EU Regions

Stirböck

2004

SSRN Journal

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Die Discussion Papers dienen einer möglichst schnellen Verbreitung von neueren Forschungsarbeiten des ZEW. Die Beiträge liegen in alleiniger Verantwortung der Autoren und stellen nicht notwendigerweise die Meinung des ZEW dar.Discussion Papers are intended to make results of ZEW research promptly available to other economists in order to encourage discussion and suggestions for revisions. The authors are solely responsible for the contents which do not necessarily represent the opinion of the ZEW.Download this ZEW Discussion Paper from our ftp server:ftp://ftp.zew.de/pub/zew-docs/dp/dp0443.pdf Non-technical summaryEMU is accompanied by increased market integration and factor mobility -especially of the production factor capital. Up to date, there is no clear indication concerning the specialisation tendencies to be expected due to these impacts. This paper thus investigates the driving forces and differences of sectoral investment and employment specialisation of EU regions.The econometric analyses aim at identifying the regional determinants of high relative sectoral specialisation, i.e. the regional investment or employment specialisation in different sectors. The importance of a number of determinants from different theoretical approaches is tested controlling for heteroscedasticity and potential endogeneity.Sectoral productivity differentials between regions generally (mostly) contribute to the explanation of relative investment (employment) shares in those nine manufacturing sectors analysed. Striking is the consistent significance of low (high) regional labour cost levels in explaining high employment shares in labour-intensive (human capital-intensive) sectors. This is less evident for the explanation of investment shares. But to sum up, one can see that in many sectors, productivity differentials and average regional labour cost differentials contribute to the explanation of specialisation patterns in accordance with traditional trade theory. Productivity differentials do so, especially with respect to the explanation of investment patterns, regional labour cost differentials with respect to the explanation of employment patterns.For manufacturing sectors, the location close to large markets seems to matter according to the predictions of the New Economic Geography. We might also be confronted with further agglomeration potential in the manufacturing sectors, since the regional level of sectorspecific economies of scale is consistently significant and positive for the manufacturing sectors. However, market integration, which is supposed to enforce the agglomerative forces of economies of scale does not play a particular role in specific sectors.Additional country-specific effects differ with respect to each sector concerning investment specialisation, but clear country-specific effects are evident for employment patterns. Italy shows significantly lower employment shares in a number of manufacturing sectors and higher ones in the labour-intensive sectors agriculture and trade & lodging.In earlier studies...

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“…The level of sectoral concentration across EU countries is investigated by Amiti (1999) and Haaland et al (1999), the one across Spanish regions by Paluzie, Pons and Tirado (2001). These studies have identified a higher level of demand concentration, human capital, stronger scale intensity and intermediate-input intensity of a sector to increase its level of concentration while a high labour intensity seems to decrease the sector's uneven allocation across space 2 .…”

Section: Motivationmentioning

confidence: 99%

What Determines Relative Sectoral Investment Patterns in EU Regions?

Stirböck

2003

SSRN Journal

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Die Discussion Papers dienen einer möglichst schnellen Verbreitung von neueren Forschungsarbeiten des ZEW. Die Beiträge liegen in alleiniger Verantwortung der Autoren und stellen nicht notwendigerweise die Meinung des ZEW dar.Discussion Papers are intended to make results of ZEW research promptly available to other economists in order to encourage discussion and suggestions for revisions. The authors are solely responsible for the contents which do not necessarily represent the opinion of the ZEW.Download this ZEW Discussion Paper from our ftp server:ftp://ftp.zew.de/pub/zew-docs/dp/dp0255.pdf Non-technical summaryThe preparation of EMU was accompanied by a broad discussion of potential core-periphery tendencies and asymmetric regional developments due to a possible increase in sectoral concentration and regional specialisation. Up to date, we have no clear indication concerning the specialisation tendencies to be expected due to increased factor mobility and market integration. This paper thus aims at providing insights into the spatial patterns of relative sectoral investments of EU regions and the driving forces of sectoral investment specialisation. Regional investment patterns are compared to average EU patterns in order to identify the relative sectoral investment specialisation of EU regions. The econometric analyses aim at identifying the regional determinants of high relative sectoral investments, i.e. the regional investment specialisation in different sectors. The importance of a number of determinants from different theoretical approaches is tested controlling for heteroscedasticity and potential endogeneity. Regional factor cost or productivity differentials are supposed to matter according to traditional trade theory. We find no evidence for the relevance of labour cost differentials, however, sectoral productivity differentials between regions generally contribute to the explanation of relative investment shares in the manufacturing sectors analysed.Since investments in most manufacturing sectors are attracted by those regions in central parts of each country and not by regions far away from the core, we might be confronted with backwash effects predicted by the polarisation theory for peripheral regions. In addition, the location close to large markets seems to matter for many manufacturing sectors. We find evidence of a further agglomeration potential in the manufacturing sectors due to the importance of the regional level of sector-specific economies of scale in the explanation of relative investment shares. Market integration, which according to the New Economic Geography (NEG) is supposed to enforce the agglomerative forces of economies of scale, however, does not play a particular role in any sector. Stirboeck (2002aStirboeck ( , 2002b provide evidence for the stronger relative regional specialisation of core as well as of peripheral regions. The results of our econometric analysis now demonstrate that the determinants of the high relative specialisation of peripheral regions differ from tho...

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Regional Integration and Specialization Patterns in Spain

Cited by 42 publications

References 21 publications

Agglomeration and labour productivity in Spain over the long term

Agglomeration and labour productivity in Spain over the long term

Comparing Investment and Employment Specialisation Patterns of EU Regions

What Determines Relative Sectoral Investment Patterns in EU Regions?

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