Series: Analytical Articles.
Author: Sergio Puente.
Topics: Labour market , Spain, Economic situation, Structural analysis.
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Summary
This article aims to analyse the process of per capita income convergence between the different Spanish regions and the factors that may have played a role in this process over the last three decades. The main conclusion is that the distance between the per capita income of the different regions has narrowed, albeit slightly. As regards the factors underlying this process, the convergence of labour productivity is the main element that has helped to reduce regional income dispersion, mainly due to a greater accumulation of capital in regions where income was initially lower. Conversely, neither the labour market variables (employment, unemployment) nor total factor productivity have contributed significantly to the reduction of regional differences during the course of the period analysed.