Online First

The articles listed below have been accepted for publication after successfully passing the review process. They will be included in future issues of the journal.

Derya Fındık, Dilek Çetin, Bayram Veli Doyar

How does an entrepreneurial university affect regional economic development?

This paper aims to reveal the role of entrepreneurial universities in the regional economic development of Türkiye. By using spatial econometrics tools including cluster maps, namely LISA and Geary, and spatial regression models for NUTS 3 regions (81 provinces), the effect of the entrepreneurial universities on regional development indicators, i.e., gross domestic product (GDP), GDP per capita (GDPPC), and the number of enterprises is examined from 2012 to 2017. Both the number of entrepreneurial universities and their presence is effective on all three regional development indicators. Additionally, investing in education, promoting export activities, and developing physical infrastructure should be prioritized in provincial development plans to overcome regional disparities.

Keywords: Entrepreneurial university; region; development; spatial econometrics
Pablo García-García

Just transition in post-mining regions: Governance and socio-economic strategies in Wales and León

A just transition is essential for sustainable policies and a net-zero economy, ensuring that climate action is aligned with social justice and inclusive of vulnerable communities. This note compares the just transition frameworks of Wales and León (Spain), both post-mining regions, which have developed regionally tailored approaches. By examining governance structures, stakeholder engagement, economic restructuring methodologies, and challenges in implementation, this note highlights the distinct and shared features of these frameworks, offering insights into their potential for addressing both ecological and social inequalities in transitioning to a low-carbon future.

 

Keywords: Just transition; net-zero economy; post-mining regions; governance; economic restructuring
Arturo Alatrista-Corrales, Maritza Chirinos-Marroquín, Jackeline Lucía Campos-Vera, Maribel Jessica Chullunquia-Pari, Angel Jeancarlo Coaquira Flores, Cecilia Arace Escobar-Huisa

Functional analysis of technological innovation systems as an approach for smart specialization: the case of solar energy in Arequipa - Peru

This study proposes the application of the methodological framework for functional analysis of technological innovation systems in the context of the implementation of a regional smart specialization strategy. The case focuses on the solar energy industry in the Arequipa region – Peru. For this purpose, interviews, surveys and workshops were conducted with more than 70 stakeholders. The results allowed for the formulation of specific initiatives based on the identification of certain blocking mechanisms. The proposed approach can contribute to the development of innovation policies with regional scope, especially in territories with low scientific-technological infrastructure.

 

Keywords: Solar energy; technological innovation systems (TIS); regional development
María Gema Flores Polán, Gemma Fuentes Calle, Luís Fernando De la Macorra Cano

Convergence in the Spanish and Portuguese NUTS 3 regions: an analysis of the period 2000-2019

The objective of this paper is to examine the convergence of economic activity between the various NUTS 3 regions of the Iberian Peninsula over the period 2000-2019. An analysis of the GDP (PPS) per capita of Spanish and Portuguese provinces was conducted with the help of different usual statistical and econometric methods of σ, β and γ. This was done to confirm the existence or non-existence of economic convergence in the period under analysis. The results revealed the existence of economic convergence between the Portuguese and Spanish provinces. In addition, they showed that more than half of the territory analysed was characterised by a scenario of poverty.

 

Keywords: Economic convergence; GDP; Spain; Portugal
Jordi Suriñach, Esther Vayá, Jordi López-Tamayo, Joaquim Murillo

Regional economic impact of Latin American Universities. A comparative analysis

The article represents the first contribution in which the economic impact of a group of nine Latin American universities is estimated, following a demand-based approach and a homogeneous methodology. The analyzed universities have different profiles depending on their ownership, size, age, or geographic location. Using the input-output methodology, the impacts derived from the expenditures and investments made by both the universities and their related agents are estimated. The results show significant impacts (up to 4% of the regional GDP, depending on the case), which extend across the entire national territory and all economic sectors. The study demonstrates that the economic and social impact is highly relevant, providing a substantial return, overall in universities with a high level of R+D+I activities.

Keywords: University economic impact; regional and local development; Input-output methodology; Latin America
Lejla Karamujic

Country’s governance quality impact on cloud computing adoption in the EU enterprises

Cloud computing is widely recognised as a key technology that enables digitalisation, fuelling the digital economy growth. Using World Bank Governance Indicators, in this paper we examine how country’s quality of governance (or good governance) impacts the use of cloud computing in the enterprises in the EU, hence affects digitalisation of the EU. In an empirical examination of 27 EU countries over a period from 2014 to 2021, it was found that good governance positively affects cloud computing adoption in the EU enterprises. In support of the institutional theory, we show that improving country’s governance quality is an important step in accelerating cloud computing adoption by the EU enterprises, the finding providing an important input to the EU government in their execution of the Industrial Strategy 2030, in which digitalisation and cloud computing adoption play an important role. Businesses operating in the EU countries with higher quality of governance are more likely to implement cloud computing in their operations, a cost and performance benefiting technology, a valuable insight to the EU enterprises, which gain direct benefits from increased cloud computing adoption in their businesses.

Keywords: Institutions; cloud computing adoption; digitalisation; good governance; country’s governance quality; EU (Europe); World Bank governance indicators; quality of government index
Juan Gabriel Brida, Pablo Juan Cárdenas-García, María Leivy Mejía-Alzate, Verónica Segarra

An empirical examination of the dynamics of tourism, growth, and economic development at a regional level. The colombian departments

Since the normalization of tourism in Colombia resulting from improved security and the pacification of various regions of the country, increased attention has been paid to the key role of tourism in regional economic development. The objective of this paper is to analyze the relationship between the tourism sector and economic development in Colombia. To examine the dynamic relationship existing between international tourism and economic development, the 33 departments of Colombia are analyzed between 2012 and 2021. The empirical analysis is conducted using non-parametric tools, derived from symbolic time series analysis, based on the notion of economic regime and clustering techniques. This offers a contribution in two aspects: on the one hand, a novel methodology is applied, and, on the other hand, regional-level analysis is performed. A limited mobility of the departments between the different regimes has been observed during this period, indicating the stability of the variables analyzed. The results of the study suggest that the relationship between tourism and economic development differs in the different groups of departments identified, offering evidence of differences within the country. It should be noted that the group of departments with the highest level of tourism displays a high level of economic development and growth.

Keywords: Tourism; economic growth; economic development; regional analysis; dynamic regime
Carolina Guevara Rosero, Miguel Flores, Michelle Llumiquinga, Melany Tulcán

Spatial patterns of crime in Ecuador: analyzing the impact of judicial systems and geographic elements

This study investigates the spatial patterns of crime in Ecuador and their driving factors, paying special attention to the judicial system’s impact. Drawing on data from 218 cantons between 2015 and 2021, we applied exploratory spatial data analysis and spatial econometric models for cross section data and panel data. Our analysis revealed discernible clusters of both high and low crime rates, as well as isolated areas of crime (islands of crime) and safety (islands of non-crime). The findings offer a detailed overview of the crime situation in Ecuador and emphasize the significance of geographic elements in formulating effective crime prevention measures. The analysis also identifies the shift in crime dynamics over time, indicating that cantons typically experiencing low crime rates can evolve into higher crime areas, hinting at a contagion effect within spatial clusters. The study further underscores the critical influence of the judicial system on crime prevalence, where systemic inefficiencies such as case backlogs and a high proportion of unsentenced inmates are associated with rising crime. For policymakers, these insights underscore the necessity of tailoring interventions to the specific contexts and dynamics of each region, considering both the local conditions and the broader surrounding crime environment.

Keywords: Crime; spatial; cluster; Latin America; judicial
Marcos Herrera-Gómez, Sadit Ruano, Manuel Salvador Figueras

Regional Economic Growth in Colombia: the role of Fiscal corruption and the Armed conflict

This research explores the impact of armed violence and corruption on the economic growth of Colombia’s departments from 1991 to 2017. Using models of spatial panels, statics and dynamics, we detect positive space-time indirect effects on departmental growth, including evidence of beta-convergence. Specifically, fiscal corruption exhibited a significant negative impact on short-term economic growth. Moreover, corruption primarily affected growth at the local level, with limited spillover effects observed from neighboring regions. Interestingly, our analysis did not yield statistically significant evidence regarding the impact of armed violence on economic growth.

 

Keywords: Economic growth; spatial dynamic model; fiscal corruption; armed conflict; beta convergence
Alberto Vaquero García, Santiago Lago Peñas, María Cadaval Sampedro, Patricio Sánchez Fernández

Regional Investment Dynamics: A Comparative Study of the Autonomous Communities in Spain

This paper aims to provide a comprehensive description of the evolution of public investment by the Autonomous Communities in Spain from 1984 to 2021, to identify patterns in investment policies and explain their underlying causes. Additionally, the paper evaluates the impact of savings, transfers, and deficits on public investment. The findings reveal distinct patterns in the level and dynamics of these variables across regions. Priority was given to essential welfare expenditures during the Great Recession, while the post-recession recovery displayed varied regional behaviors. The positive impact of European and national funds, such as the Interterritorial Compensation Fund, effectively revitalized investment and savings, which emerged as a key differentiating factor in chartered communities.

 

Keywords: Public investment; capital transfers; indebtedness; Autonomous Communities
Maryna Makeienko, Mariano Matilla-García

Spatial Trends and Spatial Econometric Structures: practical application to a different context data

Spatial trend concept was proved to be useful to depict the systematic variations of the phenomenon concerned over a region based on geographical locations. We use three different geographical datasets to check if there exist potential leading deterministic spatial components and whether we can econometrically model spatial economic relations that might contain unobserved spatial structure of unknown form. Hypothesis testing is conducted with a symbolic-entropy based non-parametric statistical procedure, proposed in Garcia-Cordoba et al. (2019), which does not rely on prior weight matrices assumptions. Geographically restricted semiparametric spatial models are taken to perform a modeling strategy for cross-sectional data sets. The main question to be responded is whether the models that merely incorporate space coordinates might be sufficient to capture space dependence when applied to different types of data. Moreover, it is important to study what intrinsic characteristics of the economic problem or the dependent variable itself make feasible (and optimal) to use the specific methodological approach.

 

Keywords: Symbolic entropy; spatial trends; applied analysis
Rafael González-Val, Fernando Sanz-Gracia

A test of the relationship between the Pareto exponent and sample size

This paper uses un-truncated city population data from three countries—the United States, Spain and Italy—to empirically test Proposition 1 put forth by Eeckhout (2004 American Economic Review, 94: 1429–1451). Eeckhout’s hypothesis was that the estimate of the Pareto exponent in a standard Zipf regression decreases with sample size, if the underlying city size distribution is lognormal. Using rolling sample regressions, we find that this proposition is only valid once we enter the lognormal body of the distribution; for the Pareto-distributed upper-tail, the estimated exponent does not vary with sample size.

 

Keywords: City size distribution; Zipf’s law; Pareto exponent; Pareto distribution; lognormal distribution; rolling sample regressions
Viviana Carriel, César Andrés Mendoza, Rodrigo Mendieta, Sofía Bravo

Job quality in the shadow of informality: the mediating role of education. A regional analysis in Ecuador between 2014 to 2019

This paper investigates the relationship between informality and job quality in Ecuador, emphasizing the role of education as a mediating factor. Utilizing data from the National Survey of Employment, Unemployment, and Underemployment from 2014 to 2019, the study employs an Employment Quality Index to assess job quality. Through a detailed empirical strategy incorporating pooled ordinary least squares regressions, panel data analyses, and spatial models, the research unveils a negative impact of informality in employment quality. However, the findings indicate that education does not significantly influence this relationship at the regional level. These results highlight the necessity for targeted policy interventions that address the structural issues in the labor market.

 

Keywords: Employment quality index; informality; education; Ecuador
Rodrigo Pérez Silva

Local development and interregional migration of highly skilled workers. The case of Chile

The ability of local territories to create and attract human capital is key in generating progress at the local level. However, skilled workers not only tend to stem from certain regions, but to be attracted to them. This study analyzes interregional migratory movements in Chile, identifying differentials in local economic development as a factor that promotes selective migration of workers. The results indicate that regions with high levels of relative development attract more qualified migrants and expel the less qualified, thus reinforcing the initial concentration of human capital.

 

Keywords: Local economic development; interregional migration; skilled workers
Virgilio Pérez, Jose M. Pavía

Automating the Transfer of Data between Census Sections and Postal Codes Areas Over Time. An application to Spain

Cross-section and longitudinal spatial statistics and econometric models rely on spatially and temporally referenced data. Administrative units like cities, counties, and provinces provide stable data sources, enabling models to combine statistics collected at different times. In Spain, census sections serve as the smallest territorial units in which official statistics are delivered. These areas offer valuable statistics, such as population and housing censuses. Providing these statistics at the postcode level is also pertinent for conducting local analyses and surveys. The issue is that boundaries of census sections undergo regular updates, sometimes involving significant reorganization. The R-package sc2sc automates the transfer of variables between different census sections and postal codes. This paper introduces the package and outlines its methodology, which employs areal weighting to transfer counts and rates.

 

Keywords: Spatial statistics; longitudinal data; census sections; R-stats; sc2sc; geospatial analysis
Julián Ramajo, Alejandro Ricci-Risquete, Geoffrey J.D. Hewings

Spatio-temporal dynamics of regional economic growth: An empirical model for the Spanish Autonomous Communities

This paper analyzes the evolution of the aggregate production in the Spanish regional economic system between 2000Q1 and 2023Q4 proposing a spatiotemporal growth model for the Autonomous Communities in Spain that simultaneously accounts for the presence of time-series dynamics, cross-sectional spatial dependence, common factors, and regional heterogeneity. The econometric specification used in the empirical application includes time-lagged variables, spatial and spatiotemporal lagged variables, a dynamic common factor (the national growth), and some parameters varying regionally, so we consider all the key stylized facts that complex regional economic growth processes exhibit over time.

Keywords: Temporal dynamics; spatial dependence; spatio-temporal models; regional production; Spain
David Garnés-Galindo, Manuel Ruiz-Marín, María Luz Maté-Sánchez-Val

Unveiling the pandemic's impact: Did COVID-19 drive business failures? A Cutting-Edge Analysis with Spatial Autoregressive Modelling

The objective of this study is to estimate the impact of Covid-19 on business behavior and its spatial effect among companies. Four specifications have been developed to analyze the pandemic’s influence on key variables determining business behavior: liquidity, indebtedness, profitability, and efficiency. This study has focused on the province of Barcelona, Spain, from which a database of failed and non-failed companies has been compiled, both before and after the pandemic. The models have been estimated using the spatial Seemingly Unrelated Regressions (SUR) methodology, and each equation was estimated following a spatial Differences-in-Differences model. The results confirm that the emergence of Covid-19 has had a significant impact on companies’ financial ratios, worsening their positions in terms of liquidity, indebtedness, and efficiency, with the existence of a spatial contagion pattern.

 

Keywords: Business failure; covid; Differences-in-Differences; current ratio; debt ratio; profitability; efficiency; spatial dependence
Francesca Centofanti, Roberto Basile, Francesca Licari, Jacopo Pitari

The effect of internal migration on regional growth in Italy: a dynamic spatial panel data analysis

This study assesses the effect of internal migration on regional growth in Italy at the NUTS-3 level over the period 2002-2019. The composition of the internal migration flows of the working-age population in Italy during the sample period appears substantially heterogeneous in nationality and labor skills. The analysis considers this heterogeneity, estimating various specifications of the dynamic spatial model and controlling for the endogeneity of migration variables through a control function approach. The evidence suggests that the internal migration of Italian citizens has a positive direct and spillover impact on regional growth, slowing down the convergence process. On the contrary, there is no evidence of a significant effect of internal migration of foreign citizens. Taking the skill composition of internal movements of Italian citizens into account, the adverse impact on convergence is magnified, thus corroborating the skill-selective hypothesis. Finally, the diverging impact of internal migration increases with the distance of migration flows.

 

Keywords: Regional growth; convergence; migration; spatial dynamic models