Spatial shift‐share analysis: Some new developments.

The traditional shift‐share analysis and its existing spatial versions fail to detect the simple effects related to the underlying spillovers derived from the neighbourhood and regional contexts. This paper presents a formulation of the spatial shift‐share that incorporates novel effects and classifies the regions in a multi‐contextual framework (national, neighbourhood and regional). The use of different benchmarks is valuable since the performance of some regional sectors can be diagnosed with a national focus, while for others, it may be necessary to resort to neighbourhood and regional characteristics. Thus, the technique facilitates the formulation of strategies to improve the regional economic planning. [ABSTRACT FROM AUTHOR]