The Role of Specialization for Differences in Economic Development of Lithuanian Regions Cover Image

Specializacijos įtaka Lietuvos regionų ekonominio išsivystymo skirtumams
The Role of Specialization for Differences in Economic Development of Lithuanian Regions

Author(s): Mindaugas Butkus, Zita Tamašauskienė
Subject(s): Economy
Published by: VšĮ Šiaulių universiteto leidykla
Keywords: Specialization; Lithuanian regions; economic development.

Summary/Abstract: The paper discuses what influence regional specialization and labour productivity have on regional divergence by per capita GDP and GDP per worker. The first part analyses gross value added structure in regions by three main economic sectors: agriculture, industry and construction, and service. The second part evaluates productivity in those three sectors. Real labour efficiency is measured using the price indexes. The third part of the paper discloses relationship between sectoral labour productivity and specialisation propensity. Some major conclusions can be made: (1) negative relationship between the size of the share of gross value added in agricultural sector and total labour productivity in region is observed; (2) the lowest labour efficiency is in the agricultural sector; (3) the most visual propencity to specialize in particular economic sectors by labour productivity is determinated in the industry and construction, and service sectors; (4) two first regions (according to per capita GDP) have comparative advantage and specializes in the service sector, all remaining regions do not have such advantage and do not aim to specialize in this sector; (5) Kaunas region situation is impossible to be determined by sectoral advantage and specialization parameters; (6) the second group of three regions has comparative advantage and specializes in the industry and construction sector, all remaining regions do not have such advantage and do not aim to specialize in this sector; (7) Alytus, Šiauliai and Mariampolė regions take 7–9 places according to per capita GDP and can be called agricultural regions; (8) the last regions do not have comparative advantage in any economic sector.

  • Issue Year: 2005
  • Issue No: 1(5)
  • Page Range: 115-123
  • Page Count: 9
  • Language: Lithuanian