Last modified: 2013-10-29
Specialization and Determinants of Geographic Concentration Pattern of the Slovakia Economic Sectors
In the paper we analyse the Slovak economy (SR) regional specialization, concentration and identify determinants of economic activities concentration, using an econometric model. We used the SR and regional data (NUTS III) on employment and gross value added by economic sectors, classified by SK NACE Rev. 2 from the period 1995 – 2010. The SR economy specialisation (NUTS I) development showed unstable and declining pattern, affected by prevailing decline of regional specialization. Statistically significant growth of specialization over observed period was revealed in Trnava region (NUTS III). The concentration of the Slovak economy sectors has been increasing. The econometric model provided us with an insight to driving forces of this concentration development. Three determinants we investigated: differences in technologies, factor intensity and economy of scale. New technologies had a statistically significant impact on concentration growth in the Industry in total, and on concentration decline in the Commerce, trade and services and the Culture groups of sectors. The industry in total concentration had been affected by the factor intensity. This determinant had however, statistically significant positive impact on concentration in the sector Science and administration and the sector Government sphere. Statistically significant negative impact of the economy of scale was found on concentration in the sector Agriculture and positive impact on the sector Industry, Information and communication, Commerce, trade and services, Science and administration and Government sphere. Based on the standardized coefficients of the regression model, we identified the economy of scale, followed by the factor intensity as the most important determinants of the Slovak economic activities concentration growth over the 1995 – 2010.
economic specialization, geographic concentration, sectors of economy, Slovakia, econometric model
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