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The Strathprints institutional repository is a digital archive of University of Strathclyde research outputs. Strathprints provides access to thousands of Open Access research papers by University of Strathclyde researchers, including those from the School of Psychological Sciences & Health - but also papers by researchers based within the Faculties of Science, Engineering, Humanities & Social Sciences, and from the Strathclyde Business School.

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The displacement and multiplier effect of regional selective assistance: a computable general equilibrium analysis

Gillespie, G. and McGregor, P.G. and Swales, J.K. and Yin, Y. (2001) The displacement and multiplier effect of regional selective assistance: a computable general equilibrium analysis. Regional Studies, 35 (2). pp. 125-139. ISSN 0034-3404

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Abstract

This paper uses a hybrid approach to simulate the effects of Regional Selective Assistance (RSA) for Scotland. This combines 'industrial survey' estimation of the direct impacts and computable general equilibrium (CGE) modelling of the system-wide effects. The results are compared to those derived using the method currently adopted in official evaluation studies of RSA and other regional regeneration policy instruments. The CGE approach captures capacity, labour market displacement and migration effects ignored in existing studies. Simulation identifies the conditions under which these effects are likely to be quantitatively important.