Abstract
This study investigates the potential role of variations in technical efficiency as a contributing factor in providing an explanation for convergence or divergence in Western Europe. To control for spatial dependence among regions, it uses a spatial stochastic frontier framework that integrates spatial econometric techniques with stochastic frontier panel-data models. The empirical analysis reveals there is a strong geographical pattern of regional efficiency, while the degree of average regional efficiency has increased steadily year by year. From a European regional policy perspective, we can conclude that differentiated development strategies seem more appropriate than homogeneous or best-practice investment approaches.
| Original language | English (US) |
|---|---|
| Pages (from-to) | 1372-1387 |
| Number of pages | 16 |
| Journal | Regional Studies |
| Volume | 52 |
| Issue number | 10 |
| DOIs | |
| State | Published - Oct 3 2018 |
Keywords
- European regions
- frontier analysis
- spatial Durbin model
- spatial spillovers
- stochastic production function
- technical efficiency
ASJC Scopus subject areas
- General Environmental Science
- General Social Sciences