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This paper estimates the impact of public investment on regional economic growth and convergence at the NUTS 3 level in Greece. Using a new database of public expenditure per region for the period 1978-2007, it proposes a model which captures not just the impact of public investment in Greek prefectures, but also the spillover effects related to the existence of externalities from neighbouring regions. The results point to a positive long-run impact of public investment per capita on regional economic growth - but not on convergence - which also generates considerable spillover effects. However, the returns vary according to different types of public investment, with education and infrastructure spillovers having the highest impact. In general, public investment externalities seem to be more relevant for regional growth than direct public investment in each region. Finally, the impact of different types of public investment in Greece is mediated by politics and political factors, but the effect of politics disappears once we control for political-period-specific spatial-invariant variables. Resumen Este artículo estima el impacto de la inversión pública en el crecimiento económico regional y la convergencia a nivel NUTS 3 en Grecia. Haciendo uso de una nueva base de datos de gasto público por región para el periodo 1978-2007, se propone un modelo que identifica no solamente el impacto de la inversión pública en las prefecturas griegas, sino también los efectos de spillover relacionados con la existencia de externalidades procedentes de regiones vecinas. Los resultados apuntan a un impacto positivo a largo plazo de la inversión pública per cápita en el crecimiento económico regional - pero no en la convergencia - el cual genera unos efectos de spillover considerables. Sin embargo, los retornos varían de acuerdo con los diferentes tipos de inversión pública, siendo la educación y los spillovers de infraestructura los de mayor impacto. En general, las externalidades de inversión pública parecen tener una mayor relevancia para el crecimiento regional que la inversión pública directa en cada región. Para terminar, el impacto de los diferentes tipos de inversión pública en Grecia se ve influido por sus políticas y otros factores políticos, pero el efecto de las políticas desaparece una vez que se controlan las variables espacialmente-invariantes de tipo político ligadas a un periodo específico. [ABSTRACT FROM AUTHOR]

Copyright of Papers in Regional Science is the property of Wiley-Blackwell and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

Copyright of Papers in Regional Science is the property of Wiley-Blackwell and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

Shift-share and input-output models are combined to explore the resilience of Greek regions to economic crisis. Model results indicate that rural regions are more resistant to recessionary shocks than urban regions. The analysis of the space-specific ability of sectors to withstand economic shocks portrayed the resilience of agriculture, while food industry, although its impact overtime declined, managed to increase its employment in seven out of thirteen regions. The tourism sector contracted but showed more resilience in the island regions than in the continental regions. The spatial heterogeneity in the effects of the recessionary shocks re-emphasizes the need for targeted and differentiated regional development policies. [ABSTRACT FROM AUTHOR]

This research analyses the effects of international trade, relative specialization and regional industrial structure on Greek regional employment growth over the 1995–2003 period. For this purpose, it employs trade-adjusted shift-share analysis, along with linear model extensions. The results obtained highlight the importance of local conditions and regional deviations from business cycles and sectoral trends. Relative regional specialization has, on average, a positive effect on regional employment growth. The direction of industry-mix effects depends on specializing on growing or declining sectors. Imports have negative employment effects; the exports’ positive effect is weak and domestic demand remains an important positive factor. [ABSTRACT FROM AUTHOR]

This research note investigates the relationship between output and unemployment in Greece at a regional level through the implementation of Okuns’s law. Current practice is primarily restricted to the national level, and thus ignores the regional dimension of this relationship. To this end, we apply modern unit root test and cointegration techniques based on panel data settings. Using panel data is necessary because typical spans of economic time series are short, so the entire panel must be exploited in order to draw sharper inferences. The empirical results reveal that Okun’s law can be confirmed for six out of the 13 regions we examine. [ABSTRACT FROM AUTHOR]

Abstract. This article examines regional inequalities in Greece, on the basis of sigma-convergence and beta-convergence analysis and shows that they were reduced in the 1970s and the 1980s. Regression analysis indicates that regional inequalities have a pro-cyclical character, increasing in periods of economic expansion and decreasing in periods of economic recession. It also indicates that the structure of local industry, the process of EU integration, the quality of human capital and the existence of resources suitable for the development of tourism are among the factors affecting regional growth. [ABSTRACT FROM AUTHOR]