This paper develops a theoretical as well as an empirical model of deforestation and economic development in a tropical forest economy. The empirical model is estimated using panel data for 316 municipalities in the Brazilian Amazon during the period 1970-1985. The effects of controversial...

Heterogeneous panel causality tests are employed to consider the relationship between urbanization change and economic growth (i.e., differenced logged GDP per capita). Income and geography-based panels demonstrated substantial variation in that relationship. Urbanization caused economic growth...

There is an ongoing debate on whether certain sector structures enhance regional employment growth. Often, regional policies promote clusters and, hence, regional specialisation. It is commonly believed that clusters boost regional economic performance. However, in the present manuscript a...

In this paper, the Schumpeterian growth model developed by Ertur and Koch (2011) that includes spatial interactions between units of observation working via R&D spillovers is presented in detail. The implications of this model and three additional growth models with and without spatial...

Rural areas still play a major role within the EU, as Europe is still a fairly rural continent. Moreover, EU rural areas are going through greater challenges and major transformations. After the Eastern enlargements of the EU (in 2004 and 2007), they are getting more and more heterogeneous, in...

The paper examines the relation between industrial mix and regional productivity growth. For this purpose, a dynamic model of the open economy with differentiated sectoral knowledge formation and incomplete interregional knowledge diffusion is constructed. The theoretical framework is first used...

This paper investigates the impact of new firms' quality on the magnitude of their employment effects. Our results clearly show that the quality of start-ups, measured by their affiliation with sectors and innovative industries, strongly influences the direct and the overall employment...

This paper analyzes the determinants of regional economic growth in the European Union. The nonparametric approach adopted allows us not only to uncover their relevance but also to determine whether or not they exert a linear in uence. We obtain evidence of a nonlinear relationship between...

With a self-constructed, unique historical data set for 240 counties that spans over centuries, this paper uses the ‘quasi-natural experiment' of capital relocation in 1421, during China's Ming Dynasty, as an exogenous shock to study the relationship between political governance and urban...