Antonis Rovolis

Growth, Integration, and Regional Disparities in the European Union

In this paper we challenge the ability of the conventional methods initiated by Barro and Sala-i-Martin in the early 1990s to detect actual convergence or divergence trends across countries or regions and suggest an alternative dynamic framework of analysis, which allows for a better understanding of the forces in operation. With the use of a SURE model and time-series data for eight European Union (EU) member states, we test directly for the validity of two competing hypotheses: the neoclassical (NC) convergence hypothesis originating in the work of Solow and the cumulative causation hypothesis stemming from Myrdals theories. We also account for changes in the external environment, such as the role of European integration on the level of regional disparities. Our findings indicate that both short-term divergence and long-term convergence processes coexist. Regional disparities are reported to follow a procyclical pattern, as dynamic and developed regions grow faster in periods of expansion and slower in periods of recession. At the same time, significant spread effects are also in operation, partly offsetting the cumulative impact of growth on space. Similar results are obtained from the estimation of an intra-EU model of disparities at the national level, indicating that the forces in operation are independent of the level of aggregation. Our findings challenge the view of economic growth as the main driver for a reduction of regional disparities and contribute to the growing scientific evidence that points towards the need to rethink current EU-wide regional development policies.

Regional allocation of public infrastructure investment: The case of Greece

Lambrinidis M., Psycharis Y. and Rovolis A. (2005) Regional allocation of public infrastructure investment: the case of Greece, Regional Studies 39 , 1231–1244. This paper develops a model on the determinants of the regional allocation of public infrastructure investment and applies it to Greece for 1982–94 using panel methods of estimation. The principal conclusions are that regional allocations of infrastructure investment (1) were negatively associated with regional product per capita as well as with population size and population density, (2) were positively associated with the existing stock of infrastructure capital as well as with the share of agriculture in regional Gross Domestic Product, and (3) were increased across prefectures in years preceding national elections. These results are related to national and European regional policy.

Ethnic Characteristics and Geographical Distribution of Immigrants in Greece

This paper examines the geographical dimension of immigration in Greece. More particularly, this study presents the distinctive economic, demographic and settlement features of the different groups of immigrants in the Greek prefectures. The majority of immigrant workers in Greece come from the Balkan countries, the most populous ethnic group being the Albanians who account for almost 60 percent of the total immigrant population. There are significant disparities between different ethnic groups regarding their educational level and occupational characteristics. The profile of the average immigrant worker in Greece is young, from an ex-communist country; men migrate mainly for economic reasons while women migrate mostly for family reasons; women often have a higher level of education than men. There are also significant differences as far as the spatial distribution of the various ethnic groups is concerned. Some groups, such as the Philippinos, Georgians, or the Poles, show high geographical concentration, while other ethnic groups, for instance the Albanians, follow, more or less, the spatial distribution of the Greek population. One of the most interesting findings of this research is that settlement patterns are mostly dictated by geography: immigrants from neighbouring countries tend to have similar preferences or installation criteria. This is the case for immigrants from Eastern European countries. In contrast, Albanians seem to follow their own settlement pattern.

Promoting Regional Economic Growth in Greece by Investing in Public Infrastructure

The role of public infrastructure capital in the development process, either at national or at regional levels, was a relatively neglected area of research until recently. The innovatory work of Aschauer, and the ensuing debate between himself, Munnell, and Holtz-Eakin regarding the role of infrastructure in the development process in the USA, has spawned much interest in the issue. The authors aim to assess the impact of public capital on Greek manufacturing industries, especially focused at the regional scale. Capital stocks were estimated for the private and public sectors and Cobb—Douglas production functions were used in the analytical framework. The results suggest that the role of private capital in economic development in recent times has been marginal, as private investment has declined, whereas the role of labour and public capital has been both positive and significant. The authors segregate public capital into ‘productive’ and ‘social’ infrastructure; they argue that when productive infrastructure makes a positive contribution to production output, the impact of social infrastructure is insignificant and/or negative in most cases. The network effects of infrastructure are also estimated.

Waste Management Costs In Greece:Spatial Patterns And Causal Factors

This paper attempts to estimate the municipal solid waste (MSW) management costs in a number of urban and rural municipalities in Greece. The dataset comprises 71 municipalities, covering about 30% of the total population of the country. The permanent population of the municipalities examined ranges from 39 (Antikythera) to 789,166 (Athens) people, according to the 2001 census data. Data on MSW production, collection, transport, recycling and disposal were collected, using questionnaires. The total waste management cost ranges from €25/tonne to €948/tonne, with a mean value of €129/tonne and median €104/tonne. Relatively increased costs are recorded in the municipalities of the Attica region due to the fees paid to AMCAR (Association of Municipalities and Communities of the Attica Region) for the landfilling of their waste, while several, especially rural, municipalities still use uncontrolled dumps not entailing any financial disposal costs. The collection and transport costs account on average for about 85% of the total costs, due to the lack of treatment and the generally low cost of final disposal in the country. Operational costs account for a little over 85% of the total cost, with labor costs being the major cost fraction. Most of the local authorities, especially in the urban areas, have developed economic sufficient systems of waste management, with the fees paid by the citizens covering their expenses; however, this does not mean that the notion of “economic efficiency” includes potential negative environmental externalities. The final part of the analysis presents some potential explanations for the spatial variation of municipal waste management costs.

The Regional Dimension of Migration in Greece

Since the 1990s, Greece, like other southern European countries, has changed from being a country of migratory origin to a destination country for migrants. This shift has been the result of fundamental political and economic reforms across Eastern Europe, as well as demographic and economic developments within Greece. The first officially available data on migrants in Greece – country of origin, employment, education level or marital status – were extracted from the 2001 population census. There are interesting points to be made regarding their spatial distribution. Migrants of Albanian origin, the most heavily represented migrant ethnic group, have a more or less even distribution across Greek regions. However, migrants of other ethnic origin seem to cluster in different regions. The first section of this chapter offers a panorama of how migrants are dispersed across Greece with respect to their country of origin. This is followed by an attempt to identify the causal economic, social, and demographic factors of the spatial distribution of migration, using various econometric tools, including spatial regression.