Is there a rural–urban divide? location and productivity of UK manufacturing

Rizov, Marian and Walsh, Paul (2011) Is there a rural–urban divide? location and productivity of UK manufacturing. Regional Studies, 45 (5). pp. 641-656. ISSN 0034-3404


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Aggregate productivity of manufacturing industries by urban, rural less sparse, and rural sparse locations in the UK is computed from firm-specific total factor productivities, which are estimated by a semi-parametric algorithm, within four-digit manufacturing industries, using the FAME data set over the period 1994–2001. The productivity differentials across location categories are analysed by decomposing them into industry productivity effect and industry composition effect. The analysis indicates that at the end of twentieth century, a rural–urban divide in manufacturing productivity still remains, but there is a tendency for convergence between rural and urban location categories, possibly due to increased competitive pressure. The industry composition effect is positively correlated with the industry productivity effect, suggesting that locations with high productivity are also characterized by industrial structure enhancing productivity.

Item Type:Article
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Originally published as a discussion paper No 139 for the Department of Economics and Statistics, Middlesex University Business School.

Research Areas:A. > Business School > Economics
Citations on ISI Web of Science:0
ID Code:7864
Notes on copyright:Enclosed is the discussion paper previously published for Middlesex University.
Deposited On:09 May 2011 07:55
Last Modified:23 Sep 2015 13:20

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