23-24 June 2006 - Ponta Delgada (Azores, Portugal)

The Regions and Globalisation:Policies & TrendsVincenzo SpieziaHead, Territorial Statistics and Indicators 23-24 June 2006 - Ponta Delgada (Azores, Portugal)

Presentation : • Regional Policies at OECD • Implications of Globalisation • Statistics for policy-making

Competitiveness Market Opportunities Specific Assets Regional Strategies Governance Region – Country Region - World Region - Region Peer Reviews Regional Development Policy at OECD Territorial Development Committee Policy focus: Regions are actors

Regional Development Policy at OECD 3 Pillars 1. Regions as actors of national growth 2. Making the best of local assets 3. Competing on the basis of regional well-being

GLOBALISATION 1. Regions as the actors of national growth Factors of national growth are strongly localised in a smallnumber of regions  Promoting national growth requires improving the use of these factors within regions  Regional Policies

In OECD, 10% of regions account for… Australia 79% Australia TL2 35% 45% Austria Austria 46% 21% Belgium Belgium 19% 44% Canada TL2 Canada TL2 41% Czech Republic 25% 41% Denmark Denmark 33% Finland 65% Finland 44% France 52% France 38% Germany 46% Germany 35% Greece 56% Greece 38% Hungary 44% Ireland 58% Ireland 38% Italy 54% Italy 39% 83% Japan Japan 42% 73% Korea Korea 43% Mexico TL2 40% 49% Netherlands Netherlands 22% 37% Norway Norway 33% 54% OECD average OECD average 38% Poland TL2 43% Poland 27% Portugal 53% Portugal 56% Slovak Republic 25% Spain 65% Spain 45% Sweden 51% Sweden 45% United Kingdom 46% Turkey 55% United Kingdom 37% United States 65% United States TL2 39% 0% 20% 40% 60% 80% 100% 0% 10% 20% 30% 40% 50% 60% Patents share of the 10% regions with the highest GDP share of the 10% regions with the highest concentration of patents 2001 concentration of GDP 2001 more than 50% of national patents about 40% of national GDP

Employment growth varies significantly among OECD countries… …but differences in employment growth are even larger among regions

In OECD, 10% of regions account for… 56% of employment creation 69 % of job losses

In OECD, 10% of regions account for 37% of total unemployment

GLOBALISATION 2. Making the best of local assets Enhancing competitiveness Better use of local assets Identifying unused assets Regional Benchmarking

2. Making the best of local assets Methodology Compare regions against a common benchmark 3 Benchmarks: • National Averages • OECD Average • Regional Type (Urban / Rural)

GDP per capita What explains regional differencesin GDP per capita? Average Labour Productivity Employment rate Commuting rate Activity rate

Identifying Unused Resources Natural Endowments UnusedResources Specialisation -Natural resources -Geographic location -Rural or urban type -Demographics -Infrastructures -Transportation -Tourism facilities -Labour market -Human capital -Social capital Technology & Infrastructure Skills Labour market Ageing Participation Commuting

Identifying Unused Resources Natural Endowments UnusedResources Specialisation Specialisation Technology & Infrastructure Technology & Infrastructure Ageing Skills Skills Commuting Labour market Labour market Ageing Participation Participation Commuting

BENCHMARKING

Differences in GDP per capita due to productivity: Europe TL3Percentage difference from national GDP per capita 2001

The OECD Regional Typology 3 criteria: • Population density:a community is rural if density < 150 inhabitants < (500 in Japan) • % of population in rural communities: • > 50% Predominantly Rural (PR) • < 15 % Predominantly Urban (PU) • Between 50 and 15 %  Intermediate (IN) • Urban centre: • > 200KRural  Intermediate • > 500KIntermediate Urban

How much is explained by the Typology ? Productivity 60% Age 57% Specialisation 54% Commuting 53% Activity rate 51% Employment rate 51%

GLOBALISATION 3. Competing on the basis of regional well-being • Well-being  Competitiveness • Well-being = Attractiveness • Well-being >Economics

What is Well-being? Human well-being Social regrettables GDP Economic well-being

Australia 34 Austria 3 Belgium 1 Canada 25 Czech Rep 2 Denmark 4 Finland 3 France 2 Germany 4 Greece 8 Hungary 10 Iceland 6 Ireland 21 Hours to reach the closest centre Italy 3 Japan 3 Korea 14 Mexico TL2 11 Netherlands 4 New Zealand 20 Norway 2 OECD 9 Poland TL2 20 Portugal 9 Spain 3 Sweden 3 Switzerland 11 Turkey 15 United Kingdom 8 United States 30 0 10 20 30 40 Accessibility

Australia Austria Belgium Australia 0.32 Canada Austria 0.22 Denmark Belgium 0.65 Finland Canada 0.34 France Denmark 0.52 Germany Finland 0.39 Greece France 0.22 Hungary Germany 0.37 Greece 0.48 Iceland Hungary 0.49 Italy Iceland 0.31 Japan Italy 0.38 Korea Japan 0.25 Mexico Korea 0.33 Netherlands Mexico 0.26 Norway Netherlands 0.14 OECD Average Norway 0.14 OECD Average 0.43 Poland Poland 0.25 Portugal Portugal 0.23 Slovak Rep Slovak Republic 0.88 Spain Spain 0.23 Sweden Sweden 0.25 Turkey Turkey 0.43 United States United States 0.13 0.0 0.5 1.0 1.5 2.0 2.5 3.0 3.5 0.0 0.5 1.0 Education: student enrolment in tertiary education

Rural, urban & intermediate Safety: reported criminal offences against property

Highest and lowest mortality Health: age-adjusted mortality rate

Further Information • OECD Regions at a Glance 2005 • www.oecd.org • vincenzo.spiezia@oecd.org

23-24 June 2006 - Ponta Delgada (Azores, Portugal)