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Firayani, Firayani
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Humanities Biochemistry, Genetics & Molecular Biology Chemistry Computer Science & IT Decision Sciences, Operations Research & Management Economics, Econometrics & Finance Education Health Professions Law, Crime, Criminology & Criminal Justice Mathematics Medicine & Pharmacology Nursing Public Health Social Sciences Veterinary Other

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Journal : Nomico

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Economic Convergence Across Regions in the Era of Technological Disruption: A Dynamic Panel and Spatial Econometrics Approach Firayani, Firayani
Nomico Vol. 3 No. 1 (2026): Nomico-February
Publisher : PT. Anagata Sembagi Education

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.62872/ewjrgt95

Abstract

Regional economic inequality remains a major challenge in many countries, particularly in the context of rapid technological disruption and digital transformation. The concept of regional economic convergence suggests that less developed regions may grow faster than advanced regions, thereby reducing disparities in income and productivity. However, recent evidence indicates that convergence processes are increasingly influenced by technological innovation, spatial spillovers, and structural regional differences. This study aims to analyze regional economic convergence in the era of technological disruption by applying dynamic panel and spatial econometric approaches to capture both temporal dynamics and spatial interactions among regions. This research employs a quantitative approach using secondary panel data on regional economic indicators, including gross regional domestic product per capita, digital economy development, infrastructure, and human capital. The analysis applies dynamic panel estimation using the Generalized Method of Moments (GMM) to identify β-convergence, followed by spatial econometric modeling to examine spatial spillover effects between regions. The results indicate that regional convergence occurs conditionally rather than absolutely, with technological innovation and digital economy development playing important roles in shaping regional growth dynamics. Spatial econometric results reveal significant spillover effects, indicating that technological development in one region can positively influence economic growth in neighboring regions. In conclusion, regional convergence in the era of technological disruption is strongly influenced by innovation spillovers and spatial interactions, highlighting the importance of dynamic panel and spatial econometric models in analyzing regional economic development patterns.
Co-Authors Amrih, Gilang Ganjar Amruddin, Amruddin Andi Andi Astuti, Peni Ayu Sabila Chin, Jacky Christiaan, Pemy Cristofer Sumiok David Darwin Dek Opra Eliana Eliana Farawowan, Fauziah F. Irwanto, Miko Mei Judijanto, Loso Kalip, Kalip Khairul Moliza Lubis , Toib Lutvia Humaira M. Yogi Riyantama Isjoni Merung , Arteurt Yoseph Muh. Safar, Muh. Mutia Mutia, Mutia N. Nurjanah Nor Rochmatul Wachidah Nova Eliza Noviya, Anis Nurliani Manurung Prasetyo, Andreas Recki Rini Fitriani Rosalia, Olyvia Rudy Badrudin Said Ashlan, Said Said, Sadly Ashari Selly Swandari Siddiqi, M. Siregar, Hariani Sri Wahyuni Tahalele, Olivia Tasya, Amalia Tuhuteru, Laros Yustanta, Brivian Florentis Zainab Zainab