Spatial Economics Research Articles

Start Switch for Innovation in “Construction Sequencing”: Research Funding

Clusters of knowledge-intensive industries and manufacturing industries form industrial agglomeration in Step I and activate innovation in Step II. Industry clusters are formed by building segments. “Construction sequencing” in the construction industry refers to the process of determining the sequence of segments to optimize a project’s resources, budget, and scheduled timeline. The process usually begins by dividing a project into segments. Urban segments consist of public spaces, airports, factories, health, housing, etc. A “segment” is a component of a cluster; the organization of a cluster consists of constructing segments. These segments can be divided into four main categories: human resources, physical infrastructure, institutions, and the living environment. Each segment has a specific function in the process of building a cluster. This study focused on innovation in Step II and extended the Fujita–Thisse model of spatial economics to hypothesize that research expenditure per researcher leads to value being added. The Granger causality was tested for the knowledge and manufacturing industries in nine major countries including China and the U.S. The results showed that the hypothesis was significant in identifying the starting segment of innovation in Step II. Accordingly, it can be concluded that research funding is the start switch that triggers innovation. The policy implication is that activating innovation in cluster policies begins with the establishment of a research fund for researchers in its assigned clusters.

Economic cyber-physical space: theoretical and methodological genesis and modern trends of formation and development

In this scientific study, the socio-economic and technical and technological features of the new economic and technological paradigm are high lighted. As a result of the analysis of trends in the development of the Industry 4.0 market and digital initiatives adopted in the world, the prerequisites for the formation of an economic cyber-physical space at the national level have been identified, and the relevance of the subject of scientific research has been substantiated. Based on the analysis of the evolutionary development of spatial economics, the research of scientific schools is systematized and theoretical and methodological schemes belonging to representatives of the German, French (continental), Anglo-Saxon and Russian schools of spatial economics are analyzed. As a result, the postulates of the economic cyberphysical space are developed and the author's interpretation of the concept of economic cyber physical space is proposed.

The UK levelling up strategy and changing the spatial economy

ABSTRACT The United Kingdom is one of the most spatially unequal Western countries. There have been continuing policy efforts to address this issue: the latest was a ‘levelling’ up strategy by the previous Conservative government. At the time of writing a new Labour government has dismissed the strategy as a slogan but the problem remains. The paper examines the detail of the Conservative’s levelling up policy and the theory underpinning it. It queries its basic premise that the problems of localities can be addressed in isolation. The paper argues that promoting mainly low-productivity jobs would not have instigated fundamental change.

Development of the global competitiveness of Russian regions: the concept and configuration of the "smart" complementarity

Purpose: is to work out the scientifically sound theoretical and methodical framework for the «smart» complementarity of trade flows, aimed at selecting and substantiating potential commodity niches in trade of Russian regions with foreign countries.Methods: the general methodological basis of the study is the critical analysis of the scientific literature that forms the theoretical and methodological basis for the global competitiveness of individual regions of a country presented in the theories of regional and spatial economy. The study has been carried out by methods of system, structural-logical and abstract-logical analysis.Results: the research resulted in some fundamental scientific novelties such as: the scientifically grounded theoretical concept of “smart” complementarity, which makes it possible to identify the presence of specific foreign trade niches in a geographical (country, region) and commodity contexts, based on an analysis of the complementarity of trade flows at the level of a Russian region and a foreign country, and assessment of the global competitiveness of the regional economy, as well as “fine” criteria that determine the activity of participants in foreign economic activity. The applied results included a specific configuration of "smart" complementarity – the algorithm for determining promising economic specializations of the region, allowing to combine trade statistics of a foreign country with data regional statistics, indicating the presence of foreign trade potential, taking into account regional economic specializations. The developed algorithm is intended for the use in an information and analytical system to support management decisions in the field of foreign economic activity of the region.Conclusions and Relevance: the concept and configuration of «smart» complementarity in their practical implementation in the form of an information and analytical system are proposed in the article to provide the participants of foreign economic activity with data on promising export groups for selected countries in Asia, Africa and Latin America. This approach allows moving the «center of gravity» of building trade and economic relations with foreign countries from the federal to the regional level.

Spatial Economy Research: Trends, Problems and Priorities

The article provides a brief overview of research in the field of spatial economics. Among the identified trends in the development of these studies is the expansion of the theoretical construction of economic space, which at different stages included more and more new elements; at the moment this trend has exhausted itself and produces destructive works without reference to specific problems. The second trend is associated with the movement towards the synchronization of all factors of spatial economy development due to the neutralization of individual influences from the established territorial environment. The third trend has led to the exhaustion of specific analytical tools of spatial economy and their unification, bringing to the forefront the thoughtfulness of the initial problem statement and the conjugation of the analytical results with the practice of state regulation. The result of many years of development of the spatial economy problematics was noticeable success in descriptive modeling against the background of almost complete failure in its normative part: we know a lot about what the development of territories depends on, but the parameters of the spatial economy are beyond the influence of federal and regional management systems. The most promising directions of research in this area are discussed. Two of them are highlighted: turning academic research into the first step of comprehensive design of territorial development and integrating it into the format of modern reform theory; intensifying the study of the issues of innovation diffusion between territories in order to reduce interregional gaps in development. A two-step mechanism of borrowing achievements between territories is proposed, based on the combination of the procedure of stimulating advanced regions with the subsequent transfer of their experience and technological results to lagging territories.

Socio and Spatial Economic of Kappaphycus alvarezii Cultivation in South Sulawesi, Indonesia

Socio and Spatial Economic of Kappaphycus alvarezii Cultivation in South Sulawesi, Indonesia

Understanding Spatial Agglomeration: Increasing Returns, Land, and Transportation Costs

Economic activities are concentrated on a small share of inhabitable land. In our view, this agglomeration is the outcome of a trade-off between increasing returns and transportation costs, which capitalizes into land rents. Our second baseline idea is that Tiebout-like sorting provides a general framework to handle a large array of problems in spatial economics. Cities have high housing prices because they are productive and offer high levels of amenities and public goods. Both production and amenity effects capitalize in the land rent at a particular location. Through the process of bidding for land, spatial sorting is the involuntary consequence of a myriad of individual decisions made by agents who pursue their own interests.

Infrastructure projects as a driver of economic development of the regional system

Relevance. Infrastructure projects play a significant role in the economic development of the region, allowing to increase its potential, provide support for the regional ecosystem, reduce the negative impact on the environment, and create conditions for sustainable growth of the local territory.At the same time, despite the increased interest in conducting scientific research in the infrastructure sector and its opportunities to effectively influence the economy, there is a lack of development of adaptive tools and effective methods of infrastructure design in the region in the existing works of scientists, which confirms the relevance of the research.The purpose it consists in identifying the theoretical, methodological and practical features of infrastructure design in the regional system as a driver of its economic development.The objectives: to determine the role and importance of infrastructure projects in the development of the regional system; to identify criteria reflecting the specifics of infrastructure projects; to structure approaches and methods of project management; to assess the state of development of the regional infrastructure sector on the example of the Orel region.Methodology. The work uses methods of analysis, synthesis, comparison, generalization and logic based on problem-oriented, system-structural and design approaches.Results. The study found that infrastructure projects act as a unique tool for integrated development and the basis for the functioning of the localized territory of the subject of the Russian Federation, and are designed to create conditions for ensuring the effective functioning of the population and harmonious business growth.Conclusions. The role and importance of infrastructure projects in the regional system is great and multifaceted, allowing it to act as a kind of locomotive and engine of its development and creating a multiplier effect for regional sectors of the economy.The directions of subsequent research are related to the creation of an organizational and managerial model for the infrastructural development of the regional system, the development and promotion of infrastructure projects based on it in the region in the context of spatial economics.

Detecting geographical patterns in the EU’s interregional flows: A multilayer hierarchical approach

This paper develops a multilayer statistical model to examine geographical patterns of different types of interregional flows within the European Union (EU). The results first reveal the success story of the EU regarding the goal of territorial cohesion in the flow of people. Next, they capture a differential level of each type of interregional flows contribution to the overall market, where flows of capital prevail and knowledge flows lag. The analysis also reveals a diversified degree of cohesion in the interregional flows market describing Germany, the United Kingdom, the “blue banana” regions, the Central and West Europe’s coastal regions, and the East Europe’s regions. Although the EU’s path to regional development looks in the right direction, there is evidence that “borders still matter”, equipping economic geographers and policymakers with an instrumented approach for modeling and evaluating the integration of spatial economies.

A pathway to sustainable development in China: The impact of local higher education expenditure on green total factor productivity

With the global warming crisis looming, the question of how to advance green total factor productivity (GTFP) has become an important concern confronting many developing countries. Although existing studies have demonstrated that total human capital can improve GTFP, the research has neglected to consider the influence of local higher education expenditure (LHEE), and no research has examined how LHEE spatially affect GTFP. Therefore, based on spatial economics theory, this study explores the spatial autocorrelation of LHEE and GTFP in China's 30 provinces from 2004 to 2021, employing a spatial Durbin model to analyze the spillover effect and influence mechanism of LHEE on GTFP. The results reveal that LHEE and GTFP exhibit positive global spatial autocorrelation. LHEE primarily improves GTFP and its subcomponents through spillover effects. The positive spillover effects in the three regions of China are significantly higher than the direct effects, whereas the direct effects in the eastern and central regions are positive but insignificant. Furthermore, LHEE promotes GTFP by advancing green technological innovation. The findings provide valuable insights to help policymakers address sustainable development goal 4 and develop synergistic regional GTFP growth policies to establish sustainable societies worldwide.

Russia’s Participation in the Development of Transport and Logistics Highways of the EAEU Member States

Aim. An overview analysis of the prospects for trade and economic relations in the EAEU, the SCO countries and other interested states, coupled with interests in the geo-economic and geopolitical Eurasian space in the conditions of artificial escalation of local tensions by the collective West.Tasks. Search and evaluation of optimal routes for the development of traditional and new transport and logistics highways, their branched corridors from the perspective of strengthening economic integration agreements, security and interaction of the Eurasian Union with the SCO countries.Methods. The article uses methodological tools of spatial economics, economic, geographical and geopolitical analysis of the interests of states, analysis and synthesis of interests and synergy of interests of the participating states of global Eurasian projects.Conclusions. The study showed the possibilities of new and old transport magistral (the highway) systems (TMS), both through Kazakhstan and through the development of a unique alternative — the Northern Sea Route (NSR) with the construction of a completely new infrastructure and their maintenance. The issues of TMS on the BAM and Trans-Siberian railway were touched upon. An assessment of alternatives to TMS in terms of cost and time is given. The potential opportunities of the expanding TMS and cargo traffic along the Caspian-Caspian corridor, both overland from the east (Turkmenistan — Kazakhstan — Russia) and the western shore of the Caspian Sea (Iran — Azerbaijan — Russia), as well as along waterways along the same “North — South” corridor, are indicated.Results. An assessment of effective routes has been carried out; strategic objectives have been identified for newly opened transport and logistics highways, which are defined as “new lye routes” through the territories of the EAEU and neighboring interested states (China, India, Pakistan, Afghanistan, Iran, etc.), which gradually plan to enter into closer relations from participating observers relations in the international division of labor.

Climate change, carbon neutrality: the role of spatial economics

Climate change, carbon neutrality: the role of spatial economics

Public good provision and progressive income taxation in a spatial economy

Public good provision and progressive income taxation in a spatial economy

Scientific foundations of the infrastructure system research of rural areas

The article systematizes the scientific principles of research into the infrastructure system of rural areas. The purpose of the article is to generalize the theoretical foundations of the infrastructure systems study of rural areas based on the provisions of systemic, evolutionary, structural-functional, spatial approaches, principles study of sustainable development, strategic management and substantiation of the methodological foundations for studying the specifics of the rural areas infrastructure. The most common approaches to the definition of the concept of «infrastructure» are identified: service, in which infrastructure is considered as the basis of public service, production activity, etc.; reproductive - infrastructure is the basis for reproduction of goods, services, life activities, etc.; complex - infrastructure as a complex of objects; systemic - infrastructure as a system, a set of objects interconnected with each other and the external environment; spatial - infrastructure as the forming basis of the region, local territory. It has been established that in modern research, infrastructure is considered as a system-wide concept, an approach to its understanding is being formed as a separate integral system, as well as a subsystem of the second order, in particular, spatial, socio-economic. Itis argued that the spatial approach to the understanding of infrastructure has become the most widespread in the research of the infrastructure of rural areas. It is substantiated that spatial studies of infrastructure involve considering it not only as a service system, but also as a means of development, a communication connecting platform for territories, the full functioning of which determines the systemic effects of branch and regional components of spatial formations, socio-economic systems. The theoretical aspects of the regional infrastructure concept which are based on an interdisciplinary approach, based on a combination of key provisions of the regional and spatial economics theory, systems theory, evolutionary economics, and infrastructure theory, have been supplemented. The definition of the «infrastructural system of arural area» concept is proposed as a dynamic complementary structure that forms and transforms the spatial basis of socio-economic activity at the area rural level, ensures the development of interconnected, interacting systems, elements, objects of various territories hierarchical levels based on mutual complementarity. Key words: infrastructure, infrastructure system, rural areas, spatial economy, evolutionary economy, system approach, infrastructure theories.

Innovative development of small resort towns: the triad of science, business, and education

Urban areas are places associated with the transformation of ideas into practices, social initiatives, and spatial economics. The study aims to assess the triad interaction between education, science, and business as a multiplier on the socio-economic development in the region. The study built a conceptual model of socio-economic space in the context of innovative urban development: the unity of education, science, and business. The statistical analysis allowed the author to substantiate the peculiarities of the local triad. The study revealed correlations in the influence of education, science, and business on changes in the regional system. The paper suggests that the triad of education, science, and business rests on territorial specifics. This feature is the determining factor of innovative development in the field of resort towns. The presented research uses the quantitatively measured influence of the triad as a multiplier by combining values of the unity of education, science, and business. The study found that the mentioned indicator reflects the wellbeing and quality of the labor resources in the region. On the one hand, the multiplicative influence of the triad is a guarantee of an increase in the wellbeing level within the borders of the region. On the other hand, it requires adaptation of the innovative development of resort towns to the current growth of the workforce and a decrease in innovative advantages on a local scale. The findings provide policymakers with significant indicators on the way to stabilizing the regional economy and effective decision-making. The study of the interaction between education, science, and business in the context of socioeconomic development can become a crucial tool for formulating policies aimed at stabilizing the region's economy and improving the quality of life of its residents, particularly in resort cities. The obtained results can provide guidelines for the development of innovation support programs and the planning of investment strategies, taking into account the specifics of territorial conditions.

Methodological bases for balanced development of the food supply of the population

A retrospective analysis of the economic theories of marginal utility, general economic equilibrium, spatial economics, production factors, and organization theory was carried out from the position of forming the methodological basis for the emergence of the theory of balanced development of food supply for the population. The substantive aspects of the critical concepts of the identified theories are detailed in their influence on the formation and formation of the methodology for food supply to the population, including maintaining a balanced and equilibrium state in the conditions of continuous influence of external factors on food systems. For each identified theory, provisions have been established that determine the relationship with the methodology of the area under study. It has been established that the emergence of the theory and methods of balanced development of food supply for the population is a natural stage in the evolution of economic science in the context of increasing the role and importance of man in the modern economy. The methodological grounds identified are the need to achieve and maintain a balanced human diet, ensure coordination and maintain a balance of social and economic interests of consumers and food producers, ensure a balanced state of food production and consumption, maintain a balance of resource capabilities and future food needs of people, prevent the emergence of imbalances in the food sector. The work results can be used to develop new conceptual frameworks for developing the domestic agro-industrial complex and allow us to form a more holistic and detailed understanding of the specifics and features of achieving balanced agri-food sector development.

The social life of illegality: Suspicion and surveillance against African migrants in urban India

AbstractThe turn of the 21st century has witnessed a rising trend of migration from the African continent to cities across India. Accompanying such flows have been racial tensions and policing spectacles, including incidents of violence, vandalism, and evictions against African migrants and their pathologization as “illegal.” These subtle yet pervasive forms of migrant policing by state and citizen actors constitute what I call the social life of “illegality” that is characterized by distinctive modes of suspicion and surveillance. Based upon ethnography conducted in an “unplanned” settlement of Delhi cohabitated by both African and Indian residents, I illuminate how caste‐race‐religion informed indexes of difference contribute to the multi‐sensorial racialization of African migrants as suspicious. In emplacing such dynamics within changing spatial economies and the moral anxieties accompanying such transitions, I further demonstrate quotidian practice of microsurveillance against African migrants as sustaining their position as rent‐paying clients who are nonetheless maintained in their racial alterity. The social life of “illegality” thus refocuses attention on the sensorial and emplaced registers that illegalize migrants, above and beyond documentation, thereby furthering a discussion on migrant “illegality” as enmeshed within racialized imaginaries, urban transformations, and alternate modes of governmentality.

Smart specialization: origin and state of the art

Purpose: is to identify state of the art, key aspects and distinctive characteristics of the smart specialization concept based on a study of the current state and the initial prerequisites for its formation, including linkages with other theoretical approaches. Methods: theoretical provisions of regional and spatial economics, innovative development, and economic geography by Russian and foreign scientists were used for conducting the research. Тhe methods of bibliometric, statistical and content analysis of literary sources constituted a methodological framework for the study. A systematization of publications for 2012–2021 was grounded on thematic samples from eLIBRARY.ru, Scopus and Web of Science databases. An analysis of text array content was conducted with the aim of further critical interpretation of the revealed patterns and identifi cation of promising research directions. Results: it was found, that despite the fact that the concept of the smart specialization was based on many previous theoretical approaches, it made a signifi cant contribution to the new political vision of regional development. It is shown how the initially sectoral approach, through the use of the postulates of economic geography, was transformed into the territorial concept. The conducted bibliometric and content analyses of literary sources made it possible to identify the inherent characteristics of the concept, principles and tools for its implementation, as well as formulate the author’s defi nition of the smart specialization approach. Conclusions and Relevance: the importance of smart specialization consists of the following aspects. Firstly, substantiating the need for differentiated regional policy for various types of regional innovation systems. Secondly, scientifi c and practical substantiating the importance of the related diversifi cation approach to regional development to stimulate structural changes that are signifi cant for economic dynamics. Thirdly, focusing on interregional interaction to ensure complementarity of scientifi c and technological regional development.

Digital financial inclusion and upgrading of consumption structure: Evidence from rural China

Based on the perspective of spatial economy, this paper focuses on the primary effects and spatial characteristics of Digital Financial Inclusion (DFI) on the upgrading of rural consumption structure (URCS) in China, conducting a literature review and theoretical analysis. It then uses statistical data collected over the years and the Digital Financial Inclusion Index (DFII) of Peking University to prepare panel data for 31 provinces in China (aside from Hong Kong, Macao, and Taiwan) from 2011 to 2020 for empirical testing. The results are as follows: DFI can considerably boost URCS, and there is a strong spatial neighbor impact, that is, it is affected by random shocks in surrounding provinces via its spatial effect; DFI has nonlinear characteristics in the process of fostering URCS, with the threshold variables of income level and family sizes; the impact of DFI on URCS is spatially heterogeneous, and the promotion of the eastern region is better than other zones. These results can inform policymakers about rural development and provide valuable references to push forward rural vitalization.

The Spatial Solow Model with Capital and Labor Diffusion

Spatial economics has become a prominent part of economic sciences over the past decades. One of its goals is to explain the flow and distribution of production factors in space. One possible way to do that is by employing theoretical economic models, such as the Solow model. This article aims to analyze the impact of including a labor diffusion term in the capital equation upon the steady state stability of the spatial Solow model, thereby bridging a gap in the literature. The results indicate that the diffusion coefficient has a profound effect on stability. Namely, high values of the coefficient can make the model unstable, but only if labor reacts to the density of capital.