Evaluating the temporal and spatial heterogeneity of the European convergence process, 1980-1999

Julie Le Gallo, Sandy Dall'erba

Research output: Contribution to journalArticlepeer-review

Abstract

In this paper, we suggest a framework that allows testing simultaneously for temporal heterogeneity, spatial heterogeneity, and spatial autocorrelation in β-convergence models. Based on a sample of 145 European regions over the 1980-1999 period, we estimate a Seemingly Unrelated Regression Model with spatial regimes and spatial autocorrelation for two sub-periods: 1980-1989 and 1989-1999. The assumption of temporal independence between the two periods is rejected, and the estimation results point to the presence of spatial error autocorrelation in both sub-periods and spatial instability in the second sub-period, indicating the formation of a convergence club between the peripheral regions of the European Union.

Original languageEnglish (US)
Pages (from-to)269-288
Number of pages20
JournalJournal of Regional Science
Volume46
Issue number2
DOIs
StatePublished - May 2006

ASJC Scopus subject areas

  • Development
  • Environmental Science (miscellaneous)

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