Do dynamic externalities, in the form of technology creation, adoption and spatial agglomeration shape the pattern of regional growth in Europe? This study provides an alternative view on regional convergence. A model is developed which attributes club-convergence to existing differences with respect to the degree of technology adoption. In the first instance, empirical results suggest that the NUTS-2 regions of the EU-27 converge at a very slow rate. Further tests, however, indicate that convergence is restricted to a specific subset of regions. Such conclusions are tested further, using an alternative model of club-convergence, which incorporates the impact of spatial interaction, agglomeration externalities and technology. This shows that the convergence-club in Europe follows a certain geographical pattern and all members share similar characteristics regarding technology creation and adoption, and agglomeration externalities.

Autorentext
Stilianos Alexiadis is researcher in the Ministry of Rural Development & Foods of Greece, Department of Agricultural Policy & Documentation. He received a PhD from Manchester Metropolitan University and published extensively on topics of regional growth, technology and convergence.

Inhalt
Preface.- 1 Introduction.- 2 Neoclassical and Post-Keynesian Theories of Regional Growth and Convergence/Divergence.- 3 'Endogenous Growth Theory' and 'New Economic Geography'.- 4 Club Convergence.- 5 Empirical Measure of Regional Convergence.- 6 EU-27 Regions: Absolute or Club Convergence? 7 'Club Convergence': Geography, Externalities and Technology.- 8 Conclusions.- Appendices.- References.