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Has the Great Recession affected the convergence process? The case of Spanish provinces

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  • Montañés, Antonio
  • Olmos, Lorena
  • Reyes, Marcelo

Abstract

This paper explores potential convergence across the Spanish provinces, paying special attention to the influence of the recent international crisis on this process. To this end, we have taken the traditional per capita gross domestic product and the multidimensional index of human development as references. Our results show the formation of several clubs whose composition and convergence pattern has been modified by the recent crisis: the previously increasing differences in the average per capita gross domestic product between clubs have been attenuated, whilst the decreasing disparities in the average human development index have been stabilized. However, the behavior of the clubs in the last period of the sample suggests that these differences may increase notably in the post crisis years.

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  • Montañés, Antonio & Olmos, Lorena & Reyes, Marcelo, 2018. "Has the Great Recession affected the convergence process? The case of Spanish provinces," Economic Modelling, Elsevier, vol. 68(C), pages 360-371.
    • Handle: RePEc:eee:ecmode:v:68:y:2018:i:c:p:360-371
    DOI: 10.1016/j.econmod.2017.08.006
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    3. Ajit Nag & Jalandhar Pradhan, 2023. "Does club convergence matter? Empirical evidence on inequality in the human development index among Indian states," Palgrave Communications, Palgrave Macmillan, vol. 10(1), pages 1-12, December.
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    More about this item

    Keywords

    Convergence; Human Development Index; Urban provinces; Crisis;
    All these keywords.

    JEL classification:

    • C22 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Time-Series Models; Dynamic Quantile Regressions; Dynamic Treatment Effect Models; Diffusion Processes
    • R10 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - General
    • O47 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Empirical Studies of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence

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