PRODUCTIVE SPECIALIZATION AND REGIONAL DEVELOPMENT IN PORTUGAL AT THE NUTS III LEVEL

The purpose of this paper is to analyse how the specialization of Portuguese productive structures has evolved between 1995 and 2004, using specialization indicators, namely localization quotient estimation, to assess both the relative degree of concentration of a given activity in a certain area and the specialization coefficient, that helps characterize a region’s economy according to its degree of specialization. The Theil Index, together with the diversification/specialization degree of each region was also taken into consideration in this analysis. Reference variables for specialization analysis purposes were Gross Value Added and Employment in an attempt to compare differences observed with productivities, which, in turn, are related to purchasing power evolution within each territorial unit. The main aim of this study was, then, a thorough research into the time-spatial relationship between specialization, productivity and development.