The spatial pattern of growth and economic equality in Scotland, 1997 to 2010

Allan, Grant (2013) The spatial pattern of growth and economic equality in Scotland, 1997 to 2010. Fraser of Allander Economic Commentary, 36 (3). pp. 51-60. ISSN 2046-5378

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Recently published Gross Value Added (GVA, a measure of economic output) data available at the statistical "NUTS3" level allow us to explore developments in the spatial distribution of economic activity across sub-regions of Scotland. Together with a second dataset on the distribution of household incomes, we can explore whether the observed spatial pattern in economic activity is mirrored by changes in household income for the same sub-regions. This gives an opportunity to explore Scotland's economic growth at the sub-regional level. In addition it offers an opportunity to: 1) Explore the patterns of growth across the Scottish sub regions; 2) Examine the changing patterns in GVA per head across the Scottish sub regions; 3) Consider income trends across the regions; 4) Consider spatial economic inequality over time across these regions. In this preliminary paper we outline these four areas and initial considerations as to the data. It is not the purpose of this short note to explain observed growth differences, but to understand the scale – and persistence – of economic outcomes across the sub-regions of Scotland between 1997 and 2010.