Abstract

This paper looks beneath the surface of British sub-regional aggregate GVA growth over the period 1995-2004, by examining how the differing growth dynamics of the secondary and services sectors have influenced the overall regional growth process. A spatial econometric analysis is undertaken which tests regional secondary, services and aggregate real GVA per capita for absolute and conditional convergence at the NUTS 3 level. Both local and global spatial analysis techniques are utilised in order to gain a detailed insight into the growth process over the period 1995-2004. A number of explanatory factors influencing secondary, services, and aggregate regional economic growth are also identified.