Uncovering the impact of cultural heritage on economic growth: empirical evidence from Greek regions, 2000–2019

Abstract

AbstractThis paper brings empirical evidence on the role of cultural heritage assets in promoting economic growth. The case of Greece at regional level over the period 2000–2019 is taken as an example, owing to important cultural heritage endowment. Economic growth is approached by formulating a neoclassical growth model augmented with a dynamic cultural heritage index. The relationship between economic growth and cultural heritage is examined through a heterogeneous and cross-correlated panel data analysis. The empirical results reveal a positive impact of cultural heritage endowment on economic growth. Also, a significant positive influence of physical capital and a negative impact of unemployment on the economy are evidenced. The conclusions drawn could be useful to regions and countries to upgrade their cultural heritage endowment to accelerate economic growth.