Using Markov chains for determining the proximity contagion of smart specialization of localities
Using Markov chains for determining the proximity contagion of smart specialization of localities
Oliviu Matei, Laura Andreica, Ioan Alin Danci, Anca Avram, Bogdan Văduva
Abstract. Smart specialization strategies depend on understanding how economic specialization patterns diffuse across neighbouring localities. This paper proposes a Markov chain based approach for modelling the proximity contagion of smart specialization, where the state of each locality at a given moment depends probabilistically on the state of its geographic and economic neighbours. The model is calibrated on regional statistical data and provides a quantitative tool for analysing how localities transition between specialization profiles. The resulting insights can support policy-makers and regional development agencies in designing more effective, place-based specialization strategies.
Keywords: Markov chains; smart specialization; regional development; proximity contagion; spatial econometrics
📋 Cite this publication
Oliviu Matei, Laura Andreica, Ioan Alin Danci, Anca Avram, Bogdan Văduva, "Using Markov chains for determining the proximity contagion of smart specialization of localities", Proc. 19th SOCO Int. Conf. on Soft Computing Models in Industrial and Environmental Applications, Springer, 2024, 2023.
Reference: Proc. 19th SOCO Int. Conf. on Soft Computing Models in Industrial and Environmental Applications, Springer, 2024.
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