_Table 13: Estimates for ‘catching up’ and declining regions by rural vs. non-rural regional typology._

|Dependent Variable|||||∆GD|Ppcrt|||||
|---|---|---|---|---|---|---|---|---|---|---|
|Income Level|||Low-|Income|||Not Hig|h-Income|||
|Long-Run Growth|Whole|Sample|||High-|Growth||Low-|Growth||
|Dli i AGDP P Ci||||...|||||Dlii|Ri|
|ecne n verage er apta||||||...||...|ecn|gegon|
|Rural Region|Yes|No|Yes|No|Yes|No|Yes|No|Yes|No|
||(1)|(2)|(3)|(4)|(5)|(6)|(7)|(8)|(9)|(10)|
|log(GDPpcrt−1)|-0.189****<br>(0.010)|-0.212****<br>(0.007)|-0.201****<br>(0.015)|-0.218****<br>(0.017)|-0.243****<br>(0.014)|-0.225****<br>(0.012)|-0.201****<br>(0.026)|-0.303****<br>(0.024)|-0.200****<br>(0.033)|-0.290****<br>(0.027)|
|Population Changert|||||||||||
|< 0|Ref.|Ref.|Ref.|Ref.|Ref.|Ref.|Ref.|Ref.|Ref.|Ref.|
|≥0|-0.003|0.002|0.018***|0.012**|0.001|0.007**|-0.003|0.005|0.000|0.018***|
||(0.002)|(0.001)|(0.007)|(0.006)|(0.003)|(0.003)|(0.004)|(0.004)|(0.006)|(0.007)|
|log(Employment Densityrt−1)|0.024|0.050****|0.021|0.066****|0.049**|0.048***|0.025|0.150****|0.021|0.174****|
||(0.015)|(0.012)|(0.027)|(0.020)|(0.022)|(0.017)|(0.030)|(0.031)|(0.035)|(0.037)|
|log(Share GVA Agriculturert−1)|0.009|-0.134|-0.211**|0.014|-0.186**|-0.079|0.280*|-0.309|0.150|-0.222|
||(0.072)|(0.091)|(0.090)|(0.131)|(0.086)|(0.117)|(0.154)|(0.221)|(0.197)|(0.286)|
|log(Share GVA Industryrt−1)|0.009|0.044****|0.017|0.023|0.004|0.020*|0.009|0.022|0.014|0.054*|
||(0.008)|(0.006)|(0.014)|(0.016)|(0.011)|(0.011)|(0.019)|(0.017)|(0.023)|(0.028)|
|log(Share GVA Constructionrt−1)|<br>0.026****|<br>0.027****|<br>-0.000|<br>0.001|<br>-0.009|<br>0.006|<br>0.045****|<br>0.044****|<br>0.045****|<br>0.044****|
||(0.005)|(0.003)|(0.008)|(0.008)|(0.008)|(0.006)|(0.008)|(0.008)|(0.010)|(0.011)|
|log(Share GVA Market Servicesrt−1)|0.029***|0.065****|-0.011|0.015|0.006|0.025|0.081|-0.030|0.124*|-0.016|
||(0.011)|(0.009)|(0.016)|(0.023)|(0.014)|(0.017)|(0.052)|(0.050)|(0.064)|(0.071)|
|log(Share GVA NonMarket Servicesrt−1)|-0.015|-0.044****|0.020|-0.006|-0.002|-0.015|-0.046|-0.032|-0.056|0.011|
||(0.010)|(0.009)|(0.015)|(0.022)|(0.013)|(0.016)|(0.034)|(0.038)|(0.043)|(0.052)|
|log(Patentsrt−1)|0.002|0.004****|0.007**|0.001|0.000|0.001|0.003|0.005*|0.004|0.006*|
||(0.001)|(0.001)|(0.003)|(0.003)|(0.002)|(0.002)|(0.002)|(0.003)|(0.003)|(0.004)|
|log(Inward FDIrt−1)|<br>-0.001|<br>0.005****|<br>0.014**|<br>0.011***|<br>0.015****|<br>0.011****|<br>-0.014**|<br>-0.002|<br>-0.016*|<br>-0.008|
||(0.003)|(0.001)|(0.006)|(0.004)|(0.004)|(0.003)|(0.006)|(0.007)|(0.009)|(0.007)|
|Region FE|Yes|Yes|Yes|Yes|Yes|Yes|Yes|Yes|Yes|Yes|
|Year FE|Yes|Yes|Yes|Yes|Yes|Yes|Yes|Yes|Yes|Yes|
|No. Observations|5,824|12,670|1,400|1,568|2,380|3,220|1,134|1,260|672|756|
|No. Regions|416|905|100|112|170|230|81|90|48|54|
|R<sup>2</sup>|0.34|0.36|0.51|0.47|0.47|0.42|0.40|0.56|0.42|0.53|
|Adjusted R<sup>2</sup><br>|0.28<br>|0.31<br>|0.47<br>|0.42<br>|0.42<br>|0.37<br>|0.34<br>|0.40<br>|0.35<br>|0.47<br>|
|<br>Model F Statistics[p-value]<br>|73.01[0.000]<br>|195.13[0.000]<br>|44.31[0.000]<br>|42.89[0.000]<br>|50.79[0.000]<br>|55.88[0.000]<br>|27.76[0.000]<br>|39.43[0.000]<br>|20.78[0.000]<br>|31.21[0.000]<br>|
|Notes: *G< 0.1; **G< 0.05; ***G< 0.0<br>the 50% of the sample average. Not high-inc<br>a long-run growth rate of GDP per capita bet<br>crisis period 2003-2007 greater than the cor<br>logarithm terms, except for the dummy varia|1; ****G< 0.00<br>ome regions are t<br>ween the years 2<br>responding value<br>ble capturing pop|1. Robust standard<br>hose with an avera<br>003 and 2017 equa<br>defined over the s<br>ulation change bet|errors are report<br>ge yearly GDP pe<br>l to or greater tha<br>ubsequent period<br>ween timesNand|ed in parentheses.<br>r capita over the p<br>n (lower than) the<br>2008-2017. The v<br> N−1.|Low-income regio<br>eriod 2003-2017 l<br>50% of the sample<br>ariables capturing|ns are those with<br>ower than the 90%<br>average. Declinin<br>patents and inwar|an average yearly<br>of the sample av<br>g regions are thos<br>d FDI are defined|GDP per capita ov<br>erage. High- (low-<br>e with an average<br>per 100,000 inha|er the period 2003<br>)growth regions a<br>yearly GDP per c<br>bitants. All variab|-2017 lower than<br>re those recording<br>apita over the pre-<br>les are defined in|

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