SPATIAL ECONOMETRIC MODELLING OF REGIONAL CLUB CONVERGENCE IN THE EUROPEAN UNION

• Authors: Andrea Furková , Michaela Chocholatá
• Languages of publication: EN

Abstracts

EN

This paper focuses on the testing of income convergence of the EU regions using both non-spatial and spatial approaches. The main motivation for this analysis was the fact that the classical income convergence models suffer from a misspecification due to omitted spatial dependence among regions. Our empirical results provide support for the absolute beta-convergence modelling from spatial econometric perspective in our sample of 252 NUTS 2 regions over the period 2000 – 2011. Another serious finding is that the assumption of a single steady-state for all regions often mismatches with the reality. We found the club spatial beta-convergence models to be more appropriate for analysed data.

Keywords

EN

CLUB CONVERGENCE; SPATIAL ECONOMETRIC MODELS; NUTS 2 REGIONS; EUROPEAN UNION

• Publisher: Institute of Slovak and World Economics and Institute for Forecasting, Slovak Academy of Sciences
• Journal: Ekonomický časopis (Journal of Economics)
• Year: 2016
• Volume: 64
• Issue: 4
• Pages: 367 – 386

Contributors

author

Andrea Furková

• University of Economics in Bratislava, Faculty of Economic Informatics, Department of Operations Research and Econometrics, Dolnozemská cesta 1, 852 35 Bratislava, Slovak Republic

author

Michaela Chocholatá