Globalization and Local Profiles of Economic Growth and Industrial Change

By W. Dauth, Jens Suedekum. Social Science Research Network, 2016

128 citations recorded by the source corpus.

We analyze how globalization has affected the sectoral anatomy of regional growth in Germany over the period 1978-2008. The aggregate German economy is characterized by a secular decline of manufacturing and a rise of modern service industries. This trend– also known as Petty's law – is not uniform across space, however. Some regions exhibit it at an even accelerated pace, while other regions have reinforced their manufacturing specializations. We first categorize all German regions into one of three groups, with "protrend", "anti-trend" or "featureless" growth. Afterwards we propose an explanation why a particular region ended up in one of those groups: We argue that the regional profiles of growth and change are systematically related to the initial sizes, and the import and export exposures of the local manufacturing sectors.

Subfields: Economics and Econometrics, Political Science and International Relations

View Paper: https://www.semanticscholar.org/paper/7b5ff27149179f748ed7ca99f6c0bc7c689c2649

Citations in the corpus

• Place-Based Policies and Spatial Disparities across European Cities (2020, unknown): “This shift was caused by a mixture of increased globalisation (like the “China shock,” as in Autor, Dorn, and Hanson 2013; Dauth and Südekum 2016) and technological change and increased automation (Acemoglu and Restrepo 2019; Dauth et al. 2019).”