Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/273315 
Year of Publication: 
2023
Citation: 
[Journal:] Review of Regional Research [ISSN:] 1613-9836 [Issue:] Latest articles [Publisher:] Springer Nature [Place:] Berlin [Year:] 2023 [Pages:] --
Publisher: 
Springer Nature, Berlin
Abstract: 
We investigate the effects of aging on regional productivity growth, the mechanisms and the strength of which are not well-understood. We focus on two different manifestations of population aging—workforce aging and an increasing share of retirees—and investigate channels through which aging may impact on regional productivity growth for a panel of German counties 2000–2019. We find that workforce aging is more negatively associated with productivity growth in urban than in nonurban regions. A likely reason is that aging is detrimental to innovative and knowledge-intensive activities, which are heavily concentrated in cities. We also find a negative association between the share of the retired population and productivity growth in regions with a small household services sector. A likely reason is that older people’s disproportionate demand for local household services (including health care, recreation) requires a re-allocation of resources from more productive manufacturing or business services to less productive household services. Regions specialized more in highly productive industries have more to lose in this process.
Subjects: 
Workforce aging
Population aging
Productivity growth
Regional analysis
Germany
JEL: 
E24
J11
J24
J26
R11
Persistent Identifier of the first edition: 
Creative Commons License: 
cc-by Logo
Document Type: 
Article
Document Version: 
Published Version

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