Understanding Regional Growth.

We explore the variations in regional economic growth within 26 countries relative to the OECD norm between 1998 and 2003. This analysis sheds light on the role of regions in determining national growth patterns, while also providing a method similar to shift-share that can assess the relative importance of a range of demographic and economic factors in driving such growth. In particular, this taxonomy isolates those growth factors involving region-specific assets that are potentially most influenced by policy. In this sense, the findings help highlight policy niches that can most effectively shape regional growth prospects while also challenging traditional views of regional growth drivers. [ABSTRACT FROM AUTHOR]