ICT Spatial Concentration and Growth among European Regions

Since the mid of the 80’s more prosperous European regions have growing faster than less prosperous ones, determining a widening of the gap between them. A possible explanation for the increasing gap relates to the effects of producing and/or using the information and communication technologies. In this case the increasing gap can be related to both the lower concentration of ICT industries and the lower use of ICT goods in less prosperous regions. For example, as both economies of scope as well as externalities due to geographical proximity characterise ICT industries, agglomeration economies could determine a cumulative process of concentration of ICT sectors in wealthier areas. In this paper we describe the distribution of ICT among European regions and we investigate empirically some effects of the use of ICT on European regional growth. We have found a positive correlation between ICT concentration and human capital as well as between regional growth and an index of the use of ICT in Europe.