The determinants of economic resilience in rural regions. An examination of the Portuguese case

Abstract

This paper examines the factors that contributed to the economic resilience of rural regions in Portugal following the recent crisis. Portugal has for a long time faced the issue of regionalisation. However, rural regions in Portugal are not homogenous. Rural regions in Portugal are very diverse and experience very different economic realities. This paper adds to the growing body of literature on regional resilience by focusing exclusively on rural regions. Using an adaptation of Martin’s (2012) sensitivity index as a measure of resilience and bivariate analysis this paper examines the determinants of resilience in rural regions. In terms of economic structure, the paper interestingly finds that reliance on agriculture was beneficial while innovativeness hindered resilience. As for measures of social capital, the paper presents some contradictory findings. Higher rates of crime had a negative impact on resilience, however higher political participation also had a negative impact.

Keywords

• regional economic resilience
• rural areas
• portugal
• recession
• rural development