Which sectors are driving regional economic development? Comparing the effects of changes in employment in knowledge-based and consumption-based sectors on regional economic performance

Despite increasing as a proportion of economic activity, the role of consumption in regional economic development does not feature highly in the policies or debates. Instead, the focus is on the promotion of innovative activity and knowledge assets. Using NUTS 3 level data this paper examines the changing level of employment in consumption-based and knowledge-based sectors in order to assess the contribution of each to regional economic development.