IDEAS home Printed from https://ideas.repec.org/a/bla/presci/v87y2008i1p33-53.html
   My bibliography  Save this article

Regional growth transition clubs in the United States

Author

Listed:
  • Breandán Ó'hUallacháin

Abstract

. This article develops a growth‐based regionalisation of the United States using both principal components and cluster analyses to endogenously sort states into regional transition clubs with somewhat uniform annual rates of per capita real GSP growth in the period 1977–2004. I correlate the principal components with annual growth in per capita real GDP and assess spatial dependencies in the identified transition clubs. Growth variability in the transition clubs is compared with growth variability in BEA and Census regions. Results show a large Coastal transition club that contains most of the New England, Middle Atlantic, and South Atlantic census regions. California, Minnesota, and Arizona belong to this grouping. A second growth transition club titled Eastern Interior groups most of the states in the East North Central and the East South Central census regions. A Western Interior region groups states in the southern Great Plains. Coefficients of variation show that these three large interstate groupings grow more uniformly compared with associated census and BEA regions. Growth in western states is idiosyncratic. Most western states group with one or two related states, California and Arizona associate with the Coastal club, Nevada does not pigeonhole well with other states, and Alaska's annual growth trajectory is unique. Abstract. Este artículo desarrolla una regionalización de los Estados Unidos basada en crecimiento usando componentes principales y análisis de cluster para agrupar los estados en grupos de transición regional según tasas anuales de crecimiento más o menos uniformes en el producto estatal bruto (GSP) real per capita en el periodo 1977–2004. Correlaciono los componentes principales con el crecimiento anual en el producto interior bruto (GDP) real per capita y evalúo dependencias espaciales en los grupos de transición identificados. La variabilidad de crecimiento en los grupos de transición se compara con la variabilidad de crecimiento en regiones BEA (Bureau of Economic Analysis) y Censuales. Los resultados muestran un grupo de transición grande en la Costa que contiene la mayoría de regiones censuales de New England, Atlántico Medio, y Atlántico Sur. California, Minnesota, y Arizona pertenecen a este grupo. Un Segundo grupo de transición de crecimiento llamado Interior Este aglutina la mayoría de estados de las regiones censuales Central Norte Oriental y Central Sur Oriental. Una región Interior Occidental agrupa los estados de las Grandes Llanuras del Sur. Los coeficientes de variación muestran que estos tres grandes grupos interestatales crecen más uniformemente en comparación con las regiones censuales y BEA asociadas. El crecimiento en los estados occidentales es idiosincrásico. La mayoría de los estados occidentales se agrupan con uno o dos estados relacionados, California y Arizona se asocian con el grupo de la Costa, Nevada no se clasifica bien con ningún otro estado, y la trayectoria de crecimiento anual de Alaska es única.

Suggested Citation

  • Breandán Ó'hUallacháin, 2008. "Regional growth transition clubs in the United States," Papers in Regional Science, Wiley Blackwell, vol. 87(1), pages 33-53, March.
  • Handle: RePEc:bla:presci:v:87:y:2008:i:1:p:33-53
    DOI: 10.1111/j.1435-5957.2007.00151.x
    as

    Download full text from publisher

    File URL: https://doi.org/10.1111/j.1435-5957.2007.00151.x
    Download Restriction: no

    File URL: https://libkey.io/10.1111/j.1435-5957.2007.00151.x?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Julie Le Gallo & Sandy Dall’erba, 2006. "Evaluating the Temporal and Spatial Heterogeneity of the European Convergence Process, 1980–1999," Journal of Regional Science, Wiley Blackwell, vol. 46(2), pages 269-288, May.
    2. Bryan Graham & Jonathan Temple, 2006. "Rich Nations, Poor Nations: How Much Can Multiple Equilibria Explain?," Journal of Economic Growth, Springer, vol. 11(1), pages 5-41, March.
    3. Enrique López‐Bazo & Esther Vayá & Manuel Artís, 2004. "Regional Externalities And Growth: Evidence From European Regions," Journal of Regional Science, Wiley Blackwell, vol. 44(1), pages 43-73, February.
    4. Viv B. Hall & C. John McDermott, 2007. "Regional business cycles in New Zealand: Do they exist? What might drive them?," Papers in Regional Science, Wiley Blackwell, vol. 86(2), pages 167-191, June.
    5. repec:dau:papers:123456789/6861 is not listed on IDEAS
    6. Quah, Danny, 1993. "Empirical cross-section dynamics in economic growth," European Economic Review, Elsevier, vol. 37(2-3), pages 426-434, April.
    7. Cem Ertur & Julie Le Gallo & Catherine Baumont, 2006. "The European Regional Convergence Process, 1980-1995: Do Spatial Regimes and Spatial Dependence Matter?," International Regional Science Review, , vol. 29(1), pages 3-34, January.
    8. Scott Baum & Michele Haynes & Yolanda Van Gellecum & Jung Hoon Han, 2007. "Considering regional socio‐economic outcomes in non‐metropolitan Australia: A typology building approach," Papers in Regional Science, Wiley Blackwell, vol. 86(2), pages 261-286, June.
    9. Durlauf, Steven N & Johnson, Paul A, 1995. "Multiple Regimes and Cross-Country Growth Behaviour," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 10(4), pages 365-384, Oct.-Dec..
    10. Olivier Jean Blanchard & Lawrence F. Katz, 1992. "Regional Evolutions," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 23(1), pages 1-76.
    11. Mariano Bosch Mossi & Patricio Aroca & Ismael J. FernáNDEZ & Carlos Roberto Azzoni, 2003. "Growth Dynamics and Space in Brazil," International Regional Science Review, , vol. 26(3), pages 393-418, July.
    12. Ludo Peeters & Coro Chasco, 2006. "Ecological inference and spatial heterogeneity: an entropy‐based distributionally weighted regression approach," Papers in Regional Science, Wiley Blackwell, vol. 85(2), pages 257-276, June.
    13. Gerald Carlino & Keith Sill, 2001. "Regional Income Fluctuations: Common Trends And Common Cycles," The Review of Economics and Statistics, MIT Press, vol. 83(3), pages 446-456, August.
    14. Luc Anselin & Attila Varga & Zoltan Acs, 2008. "Local Geographic Spillovers Between University Research and High Technology Innovations," Chapters, in: Entrepreneurship, Growth and Public Policy, chapter 9, pages 95-121, Edward Elgar Publishing.
    15. Cem Ertur & Julie Le Gallo & Catherine Baumont, 2006. "The European Regional Convergence Process, 1980-1995: Do Spatial Regimes and Spatial Dependence Matter?," International Regional Science Review, , vol. 29(1), pages 3-34, January.
    16. Luisa Corrado & Ron Martin & Melvyn Weeks, 2005. "Identifying and Interpreting Regional Convergence Clusters across Europe," Economic Journal, Royal Economic Society, vol. 115(502), pages 133-160, March.
    17. P. Feve & Y. Le Pen, 2000. "On modelling convergence clubs," Applied Economics Letters, Taylor & Francis Journals, vol. 7(5), pages 311-314.
    18. Romer, Paul M, 1990. "Endogenous Technological Change," Journal of Political Economy, University of Chicago Press, vol. 98(5), pages 71-102, October.
    19. Theodore M. Crone, 2005. "An Alternative Definition of Economic Regions in the United States Based on Similarities in State Business Cycles," The Review of Economics and Statistics, MIT Press, vol. 87(4), pages 617-626, November.
    20. Long Gen Ying, 2000. "articles: Measuring the spillover effects: Some Chinese evidence," Papers in Regional Science, Springer;Regional Science Association International, vol. 79(1), pages 75-89.
    21. Julie Le Gallo, 2004. "Space-Time Analysis of GDP Disparities among European Regions: A Markov Chains Approach," International Regional Science Review, , vol. 27(2), pages 138-163, April.
    22. Alain Desdoigts, 1999. "Patterns of economic development and the formation of clubs," Post-Print hal-02878020, HAL.
    23. Costas Azariadis & Allan Drazen, 1990. "Threshold Externalities in Economic Development," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 105(2), pages 501-526.
    24. Sergio Rey & Brett Montouri, 1999. "US Regional Income Convergence: A Spatial Econometric Perspective," Regional Studies, Taylor & Francis Journals, vol. 33(2), pages 143-156.
    25. Clark, Todd E, 1998. "Employment Fluctuations in U.S. Regions and Industries: The Roles of National, Region-Specific, and Industry-Specific Shocks," Journal of Labor Economics, University of Chicago Press, vol. 16(1), pages 202-229, January.
    26. Anselin, Luc & Tam Cho, Wendy K., 2002. "Spatial Effects and Ecological Inference," Political Analysis, Cambridge University Press, vol. 10(3), pages 276-297, July.
    27. Maria ABREU & Henri L.F. DE GROOT & Raymond J.G.M. FLORAX, 2005. "Space And Growth: A Survey Of Empirical Evidence And Methods," Region et Developpement, Region et Developpement, LEAD, Universite du Sud - Toulon Var, vol. 21, pages 13-44.
    28. Desdoigts, Alain, 1999. "Patterns of Economic Development and the Formation of Clubs," Journal of Economic Growth, Springer, vol. 4(3), pages 305-330, September.
    29. Sergio J. Rey & Mark V. Janikas, 2005. "Regional convergence, inequality, and space," Journal of Economic Geography, Oxford University Press, vol. 5(2), pages 155-176, April.
    30. Bart Hobijn & Philip Hans Franses, 2000. "Asymptotically perfect and relative convergence of productivity," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 15(1), pages 59-81.
    31. Luc Anselin & Attila Varga & Zoltan Acs, 2008. "Geographical Spillovers and University Research: A Spatial Econometric Perspective," Chapters, in: Entrepreneurship, Growth and Public Policy, chapter 10, pages 122-134, Edward Elgar Publishing.
    32. Raymond J. G. M. Florax & Arno J. Van der Vlist, 2003. "Spatial Econometric Data Analysis: Moving Beyond Traditional Models," International Regional Science Review, , vol. 26(3), pages 223-243, July.
    33. Bloom, David E & Canning, David & Sevilla, Jaypee, 2003. "Geography and Poverty Traps," Journal of Economic Growth, Springer, vol. 8(4), pages 355-378, December.
    34. Mark D. Partridge & Dan S. Rickman, 2002. "Did The New Economy Vanquish The Regional Business Cycle?," Contemporary Economic Policy, Western Economic Association International, vol. 20(4), pages 456-469, October.
    35. Quah, Danny T., 1996. "Empirics for economic growth and convergence," European Economic Review, Elsevier, vol. 40(6), pages 1353-1375, June.
    36. Peter Egger & Michael Pfaffermayr, 2006. "Spatial convergence," Papers in Regional Science, Wiley Blackwell, vol. 85(2), pages 199-215, June.
    37. Vincent Dupont, 2007. "Do geographical agglomeration, growth and equity conflict?," Papers in Regional Science, Wiley Blackwell, vol. 86(2), pages 193-213, June.
    38. Mario Polèse & Richard Shearmur, 2006. "Why some regions will decline: A Canadian case study with thoughts on local development strategies," Papers in Regional Science, Wiley Blackwell, vol. 85(1), pages 23-46, March.
    39. Lucas, Robert Jr., 1988. "On the mechanics of economic development," Journal of Monetary Economics, Elsevier, vol. 22(1), pages 3-42, July.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Pede, Valerien O. & Florax, Raymond J.G.M. & Holt, Matthew T., 2008. "Modeling Non-Linear Spatial Dynamics: A Family of Spatial STAR Models and an Application to U.S. Economic Growth," 2008 Annual Meeting, July 27-29, 2008, Orlando, Florida 6518, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Manfred M. Fischer & James P. LeSage, 2015. "A Bayesian space-time approach to identifying and interpreting regional convergence clubs in Europe," Papers in Regional Science, Wiley Blackwell, vol. 94(4), pages 677-702, November.
    2. Cem Ertur & Julie Le Gallo, 2008. "Regional Growth and Convergence: Heterogenous reaction versus interaction in spatial econometric approaches," Working Papers hal-00463274, HAL.
    3. Rosa Bernardini Papalia & Silvia Bertarelli, 2013. "Nonlinearities in economic growth and club convergence," Empirical Economics, Springer, vol. 44(3), pages 1171-1202, June.
    4. Rosa Bernadini Papalia & Silvia Bertarelli, 2013. "Identification and Estimation of Club Convergence Models with Spatial Dependence," International Journal of Urban and Regional Research, Wiley Blackwell, vol. 37(6), pages 2094-2115, November.
    5. Maarten Bosker & Waldo Krugell, 2008. "Regional Income Evolution In South Africa After Apartheid," Journal of Regional Science, Wiley Blackwell, vol. 48(3), pages 493-523, August.
    6. Postiglione, Paolo & Benedetti, Roberto & Lafratta, Giovanni, 2010. "A regression tree algorithm for the identification of convergence clubs," Computational Statistics & Data Analysis, Elsevier, vol. 54(11), pages 2776-2785, November.
    7. Manfred M. Fischer & James P. LeSage, 2012. "A Bayesian approach to identifying and interpreting regional convergence clubs in Europe," ERSA conference papers ersa12p217, European Regional Science Association.
    8. Maarten Bosker, 2009. "The spatial evolution of regional GDP disparities in the ‘old’ and the ‘new’ Europe," Papers in Regional Science, Wiley Blackwell, vol. 88(1), pages 3-27, March.
    9. Steven N. Durlauf & Andros Kourtellos & Chih Ming Tan, 2008. "Empirics of Growth and Development," Chapters, in: Amitava Krishna Dutt & Jaime Ros (ed.), International Handbook of Development Economics, Volumes 1 & 2, volume 0, chapter 3, Edward Elgar Publishing.
    10. Cutrini, Eleonora & Mendez, Carlos, 2023. "Convergence clubs and spatial structural change in the European Union," Structural Change and Economic Dynamics, Elsevier, vol. 67(C), pages 167-181.
    11. Eckey, Hans-Friedrich & Türck, Matthias, 2005. "Convergence of EU-regions: A literature report," Volkswirtschaftliche Diskussionsbeiträge 80, University of Kassel, Faculty of Economics and Management.
    12. Túlio Cravo & Guilherme Resende, 2013. "Economic growth in Brazil: a spatial filtering approach," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 50(2), pages 555-575, April.
    13. Walheer, Barnabé, 2021. "Labor productivity and technology heterogeneity," Journal of Macroeconomics, Elsevier, vol. 68(C).
    14. Maria ABREU & Henri L.F. DE GROOT & Raymond J.G.M. FLORAX, 2005. "Space And Growth: A Survey Of Empirical Evidence And Methods," Region et Developpement, Region et Developpement, LEAD, Universite du Sud - Toulon Var, vol. 21, pages 13-44.
    15. Azariadis, Costas & Stachurski, John, 2005. "Poverty Traps," Handbook of Economic Growth, in: Philippe Aghion & Steven Durlauf (ed.), Handbook of Economic Growth, edition 1, volume 1, chapter 5, Elsevier.
    16. Julie Le Gallo & Sandy Dall'erba, 2008. "Spatial and sectoral productivity convergence between European regions, 1975–2000," Papers in Regional Science, Wiley Blackwell, vol. 87(4), pages 505-525, November.
    17. Márcio Poletti Laurini, 2017. "A spatial error model with continuous random effects and an application to growth convergence," Journal of Geographical Systems, Springer, vol. 19(4), pages 371-398, October.
    18. Bos, J.W.B. & Economidou, C. & Koetter, M. & Kolari, J.W., 2010. "Do all countries grow alike?," Journal of Development Economics, Elsevier, vol. 91(1), pages 113-127, January.
    19. Adolfo Maza & José Villaverde, 2009. "Spatial Effects On Provincial Convergence And Income Distribution In Spain: 1985–2003," Tijdschrift voor Economische en Sociale Geografie, Royal Dutch Geographical Society KNAG, vol. 100(3), pages 316-331, July.
    20. Patricio Aroca & Dong Guo & Geoffrey J. D. Hewings, 2006. "Spatial Convergence in China: 1952-99," WIDER Working Paper Series RP2006-89, World Institute for Development Economic Research (UNU-WIDER).

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:presci:v:87:y:2008:i:1:p:33-53. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: http://www.blackwellpublishing.com/journal.asp?ref=1056-8190 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.