REGIONAL PRODUCTION PROFILE AND SUSTAINABILITY: CASE STUDY OF PORTUGAL

Abstract

Objective: The study of Portugal's productive profile, at the level of the NUT III regions and on an evolutionary basis, in order to obtain a picture of the country at two different times 20 years apart. We also sought to establish a relationship between these profiles and productivity. Theoretical Framework: Review of the literature on productive specialisation and development, as well as other empirical work already carried out. Method: Construction of location indicators for productive activities, regional specialisation and relational analysis with productivity indicators. The data used, namely GVA and Employment relating to 10 activity branches/25 NUT III, has been made available by STATISTICS PORTUGAL through request. Results and Discussion: The results show a profile of Portugal in which the primary sector predominates in the interior of northern Portugal and in Alentejo, the secondary sector in the north coast and in the centre, and the tertiary sector is strongly represented in Lisbon and Porto. This profile is associated with different productivities and in evolutive terms there are signs of some changes, but still not significant. Research Implications: The sustainability of regions depends, among others, on their productive profile. As a matter of fact it is the productive sector that generates income and employment, the key variables in the socioeconomic components of sustainability. The way in which economic activities are concentrated and in which agglomeration economies can be generated are factors that can influence this development. Originality/Value: Knowledge of the evolution of a country's productive profile and how activities with different productivities fit in could contribute to a more efficient policy of intelligent specialisation and guarantee a path to sustainable development.