Competitiveness and Economic Performance by Province in Ecuador: A Panel Data Study
DOI:
https://doi.org/10.37135/kai.03.17.03Keywords:
Territorial competitiveness, local development, territorial economic performance, gross value added, panel dataAbstract
This research identifies the competitiveness pillars that are associated with territorial economic performance in Ecuador’s provinces in 2014, 2017 and 2018. Data from gross value added and the Provincial Competitiveness Index were used. Given its cross-sectional and temporal structure, panel data models with fixed and random effects were applied, selected through the Hausman test. Five models were estimated: four by dimensión, enabling environment, human capital, markets and innovation, and one global model. The global fixed-effects model, corrected for heteroscedasticity, shows that security, infrastructure, health, education, natural resources, the financial system, innovation and business management show positive and significant associations with provincial economic performance.
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