Divergent resilience: the employment growth paths of Amsterdam and Rotterdam, 2000-2014

Abstract

Amsterdam and Rotterdam have followed rather different trajectories after 1970 when deindustrialisation set in. Amsterdam benefited strongly from the growth in financial services, creative and cultural industries (CCIs) and tourism after 1990. Moreover, it has been quite successful in attracting highly skilled workers. Rotterdam, meanwhile, has fared less well. This has also become apparent after 2008, when employment growth in Amsterdam bounced back while that in Rotterdam stagnated. The Amsterdam economy, in other words, appears to be more resilient than that of Rotterdam.
Resilience is a complex concept and many potential explanations are on offer. In this paper, we focus on the role of the sectoral composition in explaining the divergent growth paths of Amsterdam and Rotterdam using a shift-share analysis of employment data over the period 2000-2014 as a strategic window. This is a first explorative step to a more comprehensive understanding of these cities’ growth paths.