Evgenia ANASTASIOU
Researcher, Department of Business Administration, University of Thessaly, Gaiopolis, Larissa Ringroad, 41500 Larisa, Greece
evanastasiou@uth.gr
Abstract
This paper examines regional economic growth and β-convergence across European regions using panel data for 233 NUTS-2 regions over the period 2011–2023. The analysis explores whether regions with lower initial income levels experience faster growth and investigates the factors associated with regional growth dynamics. The empirical framework relies on alternative panel data specifications to assess the robustness of the convergence process and to examine the role of key economic and demographic variables. The results indicate the presence of β-convergence among European regions, suggesting that regions with lower initial levels of economic development tend to grow more rapidly over time. Investment activity and migration dynamics emerge as important determinants of regional economic performance, whereas labour and demographic variables show less stable effects across model specifications. Using a recent dataset covering both the post-financial crisis and post-pandemic period, the paper provides updated evidence on regional convergence patterns in Europe. The analysis also reveals differences in convergence dynamics across groups of regions, indicating that structural characteristics and regional conditions influence the pace of economic adjustment. These findings contribute to the empirical literature on regional growth and offer insights relevant to regional development and cohesion policies in the European Union.
Keywords: Regional economic growth, β-convergence, regional disparities, panel data analysis, European regions
JEL classification: O47, R11, R12, R58
pp. 147-158