About this Journal Submit a Manuscript Table of Contents
ISRN Economics
Volume 2013 (2013), Article ID 398021, 19 pages
http://dx.doi.org/10.1155/2013/398021
Research Article

Spatial Dimensions of Economic Growth in Brazil

Institute for Applied Economic Research (IPEA), Government of Brazil, Setor Bancário Sul, Quadra 1, Edifício BNDES, 7° andar, 70.076-900 Brasília, DF, Brazil

Received 16 November 2012; Accepted 19 December 2012

Academic Editors: I. Giannoccaro, M. T. Leung, and R. Seroa da Motta

Copyright © 2013 Guilherme Mendes Resende. This is an open access article distributed under the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.

Linked References

  1. N. Islam, “Growth empirics: a Panel data approach,” Quarterly Journal of Economics, vol. 110, no. 4, pp. 1127–1170, 1995.
  2. P. Elhorst, G. Piras, and G. Arbia, “Growth and convergence in a multiregional model with space-time dynamics,” Geographical Analysis, vol. 42, no. 3, pp. 338–355, 2010. View at Publisher · View at Google Scholar · View at Scopus
  3. G. M. Resende, “Multiple dimensions of regional economic growth: the Brazilian case, 1991–2000,” Papers in Regional Science, vol. 90, no. 3, pp. 629–662, 2011. View at Publisher · View at Google Scholar · View at Scopus
  4. S. J. Rey and B. D. Montouri, “US regional income convergence: a spatial econometric perspective,” Regional Studies, vol. 33, no. 2, pp. 143–156, 1999. View at Scopus
  5. B. Fingleton, “Estimates of time to economic convergence: an analysis of regions of the European Union,” International Regional Science Review, vol. 22, no. 1, pp. 5–34, 1999. View at Scopus
  6. E. López-Bazo, M. Artís, and E. Vayá, “Regional externalities and growth: evidence from European regions,” Journal of Regional Science, vol. 44, pp. 43–73, 2004.
  7. C. Ertur and W. Koch, “Growth, technological interdependence and spatial externalities: theory and evidence,” Journal of Applied Econometrics, vol. 22, no. 6, pp. 1033–1062, 2007. View at Publisher · View at Google Scholar · View at Scopus
  8. M. Fischer, “A spatial Mankiw-Romer-Weil model: theory and evidence,” Annals of Regional Science, vol. 47, no. 2, pp. 419–436, 2011.
  9. J. Temple, “The new growth evidence,” Journal of Economic Literature, vol. 37, no. 1, pp. 112–156, 1999. View at Scopus
  10. U. F. S. N. Durlauf, P. A. Johnson, and J. R. W. Temple, “Growth econometrics,” in Handbook of Economic Growth, P. Aghion and S. Durlauf, Eds., Elservier, 2005.
  11. D. P. McMillen, “Issues in spatial data analysis,” Journal of Regional Science, vol. 50, no. 1, pp. 119–141, 2010. View at Publisher · View at Google Scholar · View at Scopus
  12. S. Gibbons and H. Overman, “Mostly pointless spatial econometrics?” Journal of Regional Science, vol. 52, pp. 172–191, 2012.
  13. R. M. Solow, “A contribution to the theory of economic growth,” Quarterly Journal of Economics, vol. 70, pp. 65–94, 1956.
  14. N. G. Mankiw, D. Romer, and D. N. Weil, “A Contribution to the empirics of economic growth,” Quarterly Journal of Economics, vol. 107, pp. 407–437, 1992.
  15. D. E. Bloom, D. Canning, and J. Sevilla, “The effect of health on economic growth: a production function approach,” World Development, vol. 32, no. 1, pp. 1–13, 2004. View at Publisher · View at Google Scholar · View at Scopus
  16. S. McDonald and J. Roberts, “Growth and multiple forms of human capital in an augmented Solow model: a panel data investigation,” Economics Letters, vol. 74, no. 2, pp. 271–276, 2002. View at Publisher · View at Google Scholar · View at Scopus
  17. R. Barro and X. Sala-I Martin, Economic Growth, MIT, Cambridge, Mass, USA, 2nd edition, 2003.
  18. P. M. Romer, “Increasing returns and long-run growth,” Journal of Political Economy, vol. 94, no. 5, pp. 1002–1037, 1986.
  19. R. E. Lucas, “On the mechanics of economic development,” Journal of Monetary Economics, vol. 22, no. 1, pp. 3–42, 1988. View at Scopus
  20. P. Romer, “Endogenous technological change,” Journal of Political Economy, vol. 98, no. 5, pp. 71–102, 1990.
  21. R. J. Barro, “Government spending in a simple model of endogenous growth,” Journal of Political Economy, vol. 98, pp. 103–125, 1990.
  22. A. Alesina and D. Rodrik, “Distributive politics and economic growth,” Quarterly Journal of Economics, vol. 109, pp. 465–490, 1994.
  23. W. Baumol, “Productivity growth, convergence, and welfare: what the long-run data show,” American Economic Review, vol. 76, no. 5, pp. 1072–1085, 1986.
  24. R. J. Barro, “Economic growth in a cross section of countries,” Quarterly Journal of Economics, vol. 106, no. 2, pp. 407–443, 1991. View at Scopus
  25. M. Abramovitz, “Catching up, forging ahead and falling behind,” Journal of Economic History, vol. 46, pp. 385–406, 1986.
  26. S. Robinson, “Sources of growth in less developed countries: a cross-section study,” Quarterly Journal of Economics, vol. 85, no. 3, pp. 391–408, 1971.
  27. K. B. Grier and G. Tullock, “An empirical analysis of cross-national economic growth, 1951–1980,” Journal of Monetary Economics, vol. 24, no. 2, pp. 259–276, 1989. View at Scopus
  28. R. C. Kormendi and P. G. Meguire, “Macroeconomic determinants of growth: cross-country evidence,” Journal of Monetary Economics, vol. 16, no. 2, pp. 141–163, 1985. View at Scopus
  29. R. Barro and X. Sala-I Martin, “Convergence across states and regions,” Brooking Papers on Economic Activity, vol. 1, pp. 107–182, 1991.
  30. H. W. Armstrong, “Convergence among regions of the European Union, 1950–1990,” Papers in Regional Science, vol. 74, no. 2, pp. 143–152, 1995. View at Scopus
  31. X. Sala-I-Martin, “The classical approach to convergence analysis,” Economic Journal, vol. 106, pp. 1019–1036, 1996.
  32. X. X. Sala-I-Martin, “Regional cohesion: evidence and theories of regional growth and convergence,” European Economic Review, vol. 40, no. 6, pp. 1325–1352, 1996. View at Publisher · View at Google Scholar · View at Scopus
  33. M. D. Partridge, M. BOARNET, S. Brakman, and G. Ottaviano, “Introduction: whither spatial econometrics?” Journal of Regional Science, vol. 52, no. 2, pp. 167–171, 2012.
  34. B. Fingleton and E. López-Bazo, “Empirical growth models with spatial effects,” Papers in Regional Science, vol. 85, no. 2, pp. 177–198, 2006. View at Publisher · View at Google Scholar · View at Scopus
  35. S. Magrini, “Regional (di)convergence,” in Handbook of Regional and Urban Economics, J. V. Henderson and J. F. Thisse, Eds., vol. 4, chapter 62, pp. 2741–2796, 1st edition, 2004.
  36. A. H. B. Ferreira and C. C. Diniz, “Convergência entre as rendas per capita estaduais no Brasil,” Texto Para Discussão 79, UFMG/CEDEPLAR, Belo Horizonte, Brazil, 1994.
  37. A. Ferreira, “Convergence in Brazil: recent trends and long-run prospects,” Applied Economics, vol. 32, no. 4, pp. 479–489, 2000. View at Scopus
  38. C. R. Azzoni, N. Menezes-Filho, T. Menezes, and R. Silveira-Neto, “Geography and income convergence among Brazilian states,” Research Network Working Paper R-395, Inter-American Development Bank, Washington, DC, USA, 2000.
  39. C. R. Azzoni, “Economic growth and regional income inequality in Brazil,” Annals of Regional Science, vol. 35, no. 1, pp. 133–152, 2001. View at Scopus
  40. R. Silveira-Neto and C. R. Azzoni, “Location and regional income disparity dynamics: the Brazilian case,” Papers in Regional Science, vol. 85, no. 4, pp. 599–613, 2006. View at Publisher · View at Google Scholar · View at Scopus
  41. S. V. Lall and Z. Shalizi, “Location and growth in the Brazilian northeast,” Journal of Regional Science, vol. 43, no. 4, pp. 663–681, 2003. View at Publisher · View at Google Scholar · View at Scopus
  42. M. Laurini, E. Andrade, and P. L. Valls Pereira, “Income convergence clubs for Brazilian municipalities: a non-parametric analysis,” Applied Economics, vol. 37, no. 18, pp. 2099–2118, 2005. View at Publisher · View at Google Scholar · View at Scopus
  43. P. De Vreyer and G. Spielvogel, “Spatial externalities between Brazilian municipios and their neighbours,” IAI Discussion Papers 123, Ibero-America Institute for Economic Research, 2005.
  44. R. L. P. Coelho and L. Figueiredo, “Uma análise da hipótese da convergência para os municípios Brasileiros,” Revista Brasileira De Economia, vol. 61, pp. 331–352, 2007.
  45. T. A. Cravo, “SMEs and economic growth in the Brazilian micro-regions,” Papers in Regional Science, vol. 89, no. 4, pp. 711–734, 2010. View at Publisher · View at Google Scholar · View at Scopus
  46. T. Cravo and G. M. Resende, “Economic growth in Brazil: a spatial filtering approach,” The Annals of Regional Science. In press. View at Publisher · View at Google Scholar
  47. M. Friedman, “Do old fallacies ever die?” Journal of Economic Literature, vol. 30, pp. 2129–2132, 1992.
  48. D. Quah, “Galton’s fallacy and tests of the convergence hypothesis,” Scandinavian Journal of Economics, vol. 95, pp. 427–443, 1993.
  49. N. Islam, “What have we learnt from the convergence debate?” Journal of Economic Surveys, vol. 17, no. 3, pp. 309–362, 2003. View at Scopus
  50. S. J. Rey and M. V. Janikas, “Regional convergence, inequality, and space,” Journal of Economic Geography, vol. 5, no. 2, pp. 155–176, 2005. View at Publisher · View at Google Scholar · View at Scopus
  51. R. Levine and D. Renelt, “A sensitivity analysis of cross-country growth regressions,” American Economic Review, vol. 82, no. 4, pp. 942–963, 1992. View at Scopus
  52. X. X. Sala-I-Martin, “I just ran two million regressions,” American Economic Review, vol. 87, no. 2, pp. 178–183, 1997. View at Scopus
  53. X. Sala-i-Martin, G. Doppelhofer, and R. I. Miller, “Determinants of long-term growth: a bayesian averaging of classical estimates (BACE) approach,” American Economic Review, vol. 94, no. 4, pp. 813–835, 2004. View at Publisher · View at Google Scholar · View at Scopus
  54. P. Cheshire and D. G. Hay, Urban Problems in Western Europe: An Economic Analysis, Unwin Hyman, London, UK, 1989.
  55. P. Cheshire and G. Carbonaro, “Convergence-divergence in regional growth rates: an empty black box?” in Convergence and Divergence Among European Regions, H. W. Armstrong and R. W. Vickerman, Eds., European Research in Regional Science, Pion, London, UK, 1995.
  56. P. Cheshire and S. Magrini, “Endogenous processes in European regional growth: convergence and policy,” Growth and Change, vol. 31, no. 4, pp. 455–479, 2000. View at Scopus
  57. S. Openshaw and P. J. Taylor, “A million or so correlation coefficients: three experiments on the modifiable areal unit problem,” in Statistical Applications in the Spatial Sciences, N. Wrigley, Ed., Pion, London, UK, 1979.
  58. L. Peeters and C. Chasco, “Ecological inference and spatial heterogeneity: an entropy-based distributionally weighted regression approach,” Papers in Regional Science, vol. 85, no. 2, pp. 257–276, 2006. View at Publisher · View at Google Scholar · View at Scopus
  59. M. T. Hannan, Aggregation and Disaggregation in Sociology, Lexington Books, Lexington, Mass, USA, 1971.
  60. S. Openshaw, “Ecological fallacies and the analysis of areal census data (UK, Italy),” Environment & Planning A, vol. 16, no. 1, pp. 17–31, 1984. View at Scopus
  61. S. Openshaw and P. J. Taylor, “The modifiable areal unit problem,” in Quantitative Geography, a British View, N. Wrigley and R. Bennett, Eds., Routledge and Kegan, London, UK, 1981.
  62. L. Anselin, “Under the hood issues in the specification and interpretation of spatial regression models,” Agricultural Economics, vol. 27, no. 3, pp. 247–267, 2002. View at Publisher · View at Google Scholar · View at Scopus
  63. E. L. Glaeser, B. I. Sacerdote, and J. A. Scheinkman, “The social multiplier,” Journal of the European Economic Association, vol. 1, no. 2-3, pp. 345–353, 2003. View at Scopus
  64. A. Briant, P. P. Combes, and M. Lafourcade, “Dots to boxes: do the size and shape of spatial units jeopardize economic geography estimations?” Journal of Urban Economics, vol. 67, no. 3, pp. 287–302, 2010. View at Publisher · View at Google Scholar · View at Scopus
  65. B. Fingleton, “The empirical performance of the NEG with reference to small areas,” Journal of Economic Geography, vol. 11, no. 2, pp. 267–279, 2011. View at Publisher · View at Google Scholar · View at Scopus
  66. D. Yamamoto, “Scales of regional income disparities in the USA, 1955–2003,” Journal of Economic Geography, vol. 8, no. 1, pp. 79–103, 2008. View at Publisher · View at Google Scholar · View at Scopus
  67. F. Caselli, G. Esquivel, and F. Lefort, “Reopening the convergence debate: a new look at cross-country growth empirics,” Journal of Economic Growth, vol. 1, no. 3, pp. 363–389, 1996. View at Scopus
  68. K. Lee, M. H. Pesaran, and R. Smith, “Growth and convergence in a multi-country empirical stochastic solow model,” Journal of Applied Econometrics, vol. 12, no. 4, pp. 357–392, 1997. View at Scopus
  69. K. Lee, M. H. Pesaran, and R. Smith, “Growth empirics: a panel data approach—a comment,” Quarterly Journal of Economics, vol. 113, no. 1, pp. 318–329, 1998. View at Scopus
  70. J. P. Elhorst, “Spatial panel data models,” in Handbook of Applied Spatial Analysis, M. Fischer and A. Getis, Eds., pp. 377–407, Springer, Berlin, Germany, 2010.
  71. J. P. Elhorst, “Dynamic panels with endogenous interaction effects when T is small,” Regional Science and Urban Economics, vol. 40, no. 5, pp. 272–282, 2010. View at Publisher · View at Google Scholar · View at Scopus
  72. J. P. Elhorst, “Dynamic spatial panels: models, methods, and inferences,” Journal of Geographical System, vol. 14, pp. 5–28, 2012.
  73. L. F. Lee and J. Yu, “Some recent developments in spatial panel data models,” Regional Science and Urban Economics, vol. 40, no. 5, pp. 255–271, 2010. View at Publisher · View at Google Scholar · View at Scopus
  74. L. F. Lee and J. Yu, “Estimation of spatial autoregressive panel data models with fixed effects,” Journal of Econometrics, vol. 154, no. 2, pp. 165–185, 2010. View at Publisher · View at Google Scholar · View at Scopus
  75. L. Lee and J. Yu, “Efficient GMM estimation of spatial dynamic panel data models with fixed effects,” 2010, http://www.economics.smu.edu.sg/events/Paper/LungfeiLee.pdf.
  76. L. Lee and J. Yu, “A spatial dynamic panel data model with both time and individual fixed effects,” Economic Theory, vol. 26, no. 2, pp. 564–597, 2010.
  77. S. Nickell, “Biases in dynamic models with fixed effects,” Econometrica, vol. 49, pp. 1417–1426, 1981.
  78. M. Arellano and S. Bond, “Some tests of specification for panel data: Monte Carlo evidence and an application to employment equations,” Review of Economic Studies, vol. 58, no. 2, pp. 277–297, 1991.
  79. S. Bond, A. Hoeffler, and J. Temple, “GMM estimation of empirical growth models,” Centre for Economic Policy Research Discussion Paper 3048, 2001.
  80. R. Blundell and S. Bond, “Initial conditions and moment restrictions in dynamic panel data models,” Journal of Econometrics, vol. 87, no. 1, pp. 115–143, 1998. View at Scopus
  81. D. Roodman, “Practitioners' corner: a note on the theme of too many instruments,” Oxford Bulletin of Economics and Statistics, vol. 71, no. 1, pp. 135–158, 2009. View at Publisher · View at Google Scholar · View at Scopus
  82. A. D. Cliff and J. K. Ord, Spatial Processes: Models and Applications, Pion, London, UK, 1981.
  83. L. Anselin and S. Rey, “Properties of tests for spatial dependence in linear regression models,” Geographical Analysis, vol. 23, no. 2, pp. 112–131, 1991. View at Scopus
  84. L. Anselin, “Local indicators of spatial association—LISA,” Geographical Analysis, vol. 27, no. 2, pp. 93–115, 1995. View at Scopus
  85. E. J. Reis, P. Tafner, M. Pimentel, et al., “O PIB dos municípios brasileiros: metodologia e estimativas, 1970–96,” IPEA Discussion Paper 1064, Brasília, Brazil, 2005.
  86. J. Le Gallo and C. Ertur, “Exploratory spatial data analysis of the distribution of regional per capita GDP in Europe, 1980–1995,” Papers in Regional Science, vol. 82, pp. 175–201, 2003.
  87. M. Abreu, H. L. F. De Groot, and R. J. Florax, “Space and growth: a survey of empirical evidence and methods,” Région Et Développement, vol. 21, pp. 13–44, 2005.
  88. E. Andrade, M. Laurini, R. Madalozzo, and P. L. Valls Pereira, “Convergence clubs among Brazilian municipalities,” Economics Letters, vol. 83, no. 2, pp. 179–184, 2004. View at Publisher · View at Google Scholar · View at Scopus
  89. C. F. Manski, “Identification of endogenous social effects: the reflection problem,” Review of Economic Studies, vol. 60, pp. 531–542, 1993.
  90. B. H. Baltagi and A. Pirotte, “Panel data inference under spatial dependence,” Economic Modelling, vol. 27, no. 6, pp. 1368–1381, 2010. View at Publisher · View at Google Scholar · View at Scopus