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Regional Growth in Central and Eastern Europe: Convergence, Divergence and Non-linear Dynamics

In: Geography, Institutions and Regional Economic Performance

Author

Listed:
  • Vassilis Monastiriotis

    (London School of Economics)

Abstract

Regional disparities in the countries of Central and Eastern Europe have risen substantially in the process of transition and internationalisation of their economies. Still, prima facie evidence of beta-convergence is often found in the CEE data. In this chapter we develop a hybrid model of regional growth that incorporates key aspects of three central theories of regional growth, namely neoclassical convergence, cumulative causation and the regional Kuznets curve. We find partial evidence in support of all three approaches, but ultimately our results suggest that the regional growth process in CEE has not been obeying the rule of convergence, either monotonically (neoclassical) or through a bell-curve (regional Kuznets curve). The specific economic, institutional and cultural factors that account for this, ought to be the subject of continuing research in the filed.

Suggested Citation

  • Vassilis Monastiriotis, 2013. "Regional Growth in Central and Eastern Europe: Convergence, Divergence and Non-linear Dynamics," Advances in Spatial Science, in: Riccardo Crescenzi & Marco Percoco (ed.), Geography, Institutions and Regional Economic Performance, edition 127, pages 77-94, Springer.
    • Handle: RePEc:spr:adspcp:978-3-642-33395-8_5
    DOI: 10.1007/978-3-642-33395-8_5
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    Cited by:

    1. Švarc, Jadranka & Dabić, Marina, 2021. "Transformative innovation policy or how to escape peripheral policy paradox in European research peripheral countries," Technology in Society, Elsevier, vol. 67(C).
    2. Vassilis Monastiriotis, 2014. "Regional Growth and National Development: Transition in Central and Eastern Europe and the Regional Kuznets Curve in the East and the West," Spatial Economic Analysis, Taylor & Francis Journals, vol. 9(2), pages 142-161, June.
    3. Eftychia Tsanana & Constantinos Katrakilidis, 2014. "Do Balkan economies catch up with EU? New evidence from panel unit root analysis," Empirica, Springer;Austrian Institute for Economic Research;Austrian Economic Association, vol. 41(4), pages 641-662, November.

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