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A quantitative method for measuring regional economic resilience to the great recession
Author(s) -
Ringwood Lauryn,
Watson Philip,
Lewin Paul
Publication year - 2019
Publication title -
growth and change
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.657
H-Index - 55
eISSN - 1468-2257
pISSN - 0017-4815
DOI - 10.1111/grow.12265
Subject(s) - shock (circulatory) , recession , resilience (materials science) , great recession , measure (data warehouse) , metric (unit) , psychological resilience , economics , macroeconomics , computer science , labour economics , psychology , operations management , social psychology , data mining , medicine , thermodynamics , physics
Abstract Regional economic resilience can be defined as an economy’s ability to withstand and recover quickly from shocks. The ability to measure resilience is necessary to developing our understanding of what influences resilience. In this paper, we develop a new, two‐dimensional quantitative measure of resilience using observed differences between expected and actual employment in a region following a shock and distinguish the response to the shock from random variation. We demonstrate one application of this metric to US county‐level employment data to compare county responses to the 2007–2009 national recession and discuss how different regions of the United States responded to the shock of the Great Recession in terms of resilience.