Silvia Dal Bianco

Reassessing Cross-Regional Convergence in Italy through Distribution Dynamics

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Abstract

I employ distribution dynamics techniques to assess labor productivity convergence across Italian regions in the period 1980-2003. In particular, I investigate four different convergence hypotheses, namely: absolute, conditional, neoclassical and technological. Consistently with the majority of the literature, I find supportive evidence of only technological conditional convergence. Thus, I conclude that the North-South labor productivity gap may be closed in the long run if structural differences are evened out and if technological diffusion towards laggard regions actually takes place.

Keywords

  • italian regions
  • neoclassical and technological convergence
  • distribution dynamics
  • C14
  • O33
  • O47

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