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Spatial Patterns of Globalization Trends

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Globalization and Regional Growth in Europe

Part of the book series: Advances in Spatial Science ((ADVSPATIAL))

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Abstract

In the first part of this book, close attention has been paid to the importance of a regional analysis of globalization trends since these are expected to be spatially differentiated, and to have diverse impacts not only at the national, but especially at the regional level. This chapter takes up the challenge of describing the spatial patterns exhibited by globalization trends over recent years, the aim being to highlight which European regions are most affected.

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Notes

  1. 1.

    For a description of the FDIRegio database, see Annex 2.1 to Chap. 2.

  2. 2.

    This database has been kindly made available to the authors by IGEAT, University of Brussels. For a description of the regional sectoral gross value-added dataset, see Annex 4.1 to Chap. 4.

  3. 3.

    Since large regions collect, in general, more firms than small regions, data on FDI have been size-adjusted. The following maps plot the number of new foreign firms per millions of inhabitants.

  4. 4.

    The econometric evidence discussed in Chap. 7 will shed more light on these issues.

  5. 5.

    Urbanization externalities occur because of the proximity of various economic activities. This encompasses market size effects, diversity of services, intermediate and final products, and the presence of social capital (infrastructure, innovation potential and social capability). See Fujita and Thisse 2002, for an in-depth analysis of different kinds of agglomeration economies.

  6. 6.

    On the role played by the EU in fostering the re-integration of Central and Eastern European countries within the global economy see (Traistaru et al. 2003; Petrakos et al. 2000; Resmini 2007).

  7. 7.

    On the dynamics of patterns of location of foreign firms in Central and Eastern European regions see (Altomonte and Resmini 2002; Alessandrini 2000; Resmini 2008).

  8. 8.

    This necessarily holds for extra-European FDI, which enters the definition of global regions, but it needs to be verified for intra-European FDI.

  9. 9.

    Simple descriptive statistics techniques (ANOVA) were used to explore this issue. Readers not familiar with this methodology can find useful explanations in Rabe-Hesketh and Everitt 2004.

  10. 10.

    In particular, the distribution of FDI differs between globalized and non-globalized regions taken together, while no statistically significant differences have been detected between regional and local players.

  11. 11.

    The presence of regional specific assets is only relevant in regional development processes if these assets complement the strategic needs of global producers (Coe et al. 2004).

  12. 12.

    According to principal component analysis, common factors explain 85% of the sample variance, while factors specific to either intra- or extra-European FDI account for another 11% of variance. Another 3% can be explained by differences between manufacturing and service FDI. The complete results are set out in Annex 5.1 to this chapter.

  13. 13.

    In 1979, Erikson et al. propose merging “higher-grade professionals, administrators and officials, managers in industrial establishments” to form a high-level profession category.

  14. 14.

    For the specifications of the professional types, see Annex 5.2 to this chapter.

  15. 15.

    The tiny size of the sample precludes reliable results for individual regions.

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Corresponding author

Correspondence to Roberta Capello .

Appendices

Annex 5.1 FDI Location Patterns: A Principal Component Analysis

Table 5.7 Extra- vs. Intra-European FDI
Table 5.8 Manufacturing and service FDI

Annex 5.2 Typology of Professions

Table 5.9 ISCO-88 International Standard classification of professions (at 1, 2, 3 digit)

Annex 5.3 Functional Specialization and Regional Type: A Correspondence Analysis

Table 5.10 Results of the correspondence analysis

Categories

Mass

Overall quality

% intertia

Dimension 1

Dimension 2

Dimension 3

Coord

Sqcoord

Contrib

Coord

Sqcoord

Contrib

Types

Local Players – Old 15

0.203

0.969

0.103

0.235

0.484

0.059

0.375

0.485

0.383

Regional Players – Old 15

0.288

0.854

0.021

−0.066

0.270

0.007

0.155

0.584

0.093

Global Players – Old 15

0.326

0.996

0.350

−0.481

0.954

0.397

−0.160

0.042

0.112

Local Players – New 12

0.031

0.968

0.113

0.872

0.912

0.123

−0.347

0.057

0.049

Regional Players – New 12

0.111

0.989

0.357

0.830

0.950

0.403

−0.267

0.039

0.106

Global Players – New 12

0.042

0.764

0.055

0.219

0.162

0.011

−0.675

0.602

0.256

Professional status

11. Public managers

0.007

0.412

0.004

−0.070

0.037

0.000

0.355

0.375

0.012

12. Corporate managers

0.073

0.985

0.123

−0.580

0.887

0.130

−0.308

0.098

0.093

13. SMEs managers

0.055

0.820

0.031

−0.108

0.092

0.003

0.484

0.728

0.172

21. Scientists

0.047

0.990

0.141

−0.769

0.888

0.148

−0.416

0.102

0.110

231. University lecturers

0.008

0.901

0.008

−0.436

0.867

0.008

−0.138

0.034

0.002

241. Business professionals

0.020

0.908

0.064

−0.238

0.080

0.006

−1.222

0.827

0.406

41. Office workers

0.151

0.987

0.191

−0.511

0.913

0.207

0.232

0.074

0.109

42. Customer service workers

0.032

0.990

0.027

−0.428

0.966

0.031

0.106

0.023

0.005

5. Retail workers

0.219

0.567

0.008

0.002

0.000

0.000

0.106

0.567

0.033

7. Craft workers

0.241

0.992

0.207

0.437

0.991

0.244

0.011

0.000

0.000

8. Blue collars

0.146

0.988

0.197

0.536

0.950

0.222

−0.172

0.038

0.058

  1. Number of obs = 366,484; Pearson chi2(50) = 15,618.33; Prob > chi2 = 0.0000; Total inertia = 0.0426; 6 active rows; 11 active columns; Expl. inertia (%) = 97.18
  2. Source: authors’ elaborations

Annex 5.4 Growth of Intertwined Functions by Regional Type: A Principal Component Analysis

Table 5.11 Results of the principal component analysis

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Capello, R., Fratesi, U., Resmini, L. (2011). Spatial Patterns of Globalization Trends. In: Globalization and Regional Growth in Europe. Advances in Spatial Science. Springer, Berlin, Heidelberg. https://doi.org/10.1007/978-3-642-19251-7_5

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  • DOI: https://doi.org/10.1007/978-3-642-19251-7_5

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