The Analysis of the Effect of Regional Creativity on Regional Economic Growth within New Economic Geographical Models


1 Economic. Faculty of Economics, Razi University of Kermanshah, Kermanshah, Iran.

2 Assistant Professor, Department of Economics, Shiraz University,shiraz,Iran

3 Economic. Faculty of Economics, Razi University, Kermanshah, Iran.


Among the theories explaining the relationship between creativity criteria in cities and economic growth, “Human Capital Theory” by Glaeser and “Creative Class theory” by Florida can be mentioned. Accordingly, present paper aimed at analysis of the creativity effect on regional economic growth and is presented in two theoretical and experimental parts. Considering the results of the current paper, there are no studies within new economic geographical theory in which the creativity explicitly points out to the growth model. In this paper, such research gap is filled and a model is presented within a new economic geographical theory as a theoretical achievement. The growth model is solved as a numerical model through using calibration technique as well as required data and information of Iranian Economic. The results obtained from sensitivity analysis show that the relation between growth and creativity is positive and concave. The concave of this model shows that growth in ration of creativity has the descending returns.


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