Depressing dependence? Transfers and economic growth in the German states, 1975–2005

Thushyanthan Baskaran, Lars Feld and Sarah Necker

Regional Studies, 2017, vol. 51, issue 12, 1815-1825

Abstract: Depressing dependence? Transfers and economic growth in the German states, 1975–2005. Regional Studies. Most countries pay substantial intergovernmental transfers to poor regions with the aim of achieving regional convergence. Consequently, transfers should have a positive effect on economic growth. However, it is equally possible that transfers perpetuate underdevelopment. This paper studies empirically the effect of intergovernmental transfers on economic growth with a panel of West German states over the period 1975–2005. The findings suggest that transfers do not foster economic growth, presumably because the recipients use them to subsidize declining industries.

Date: 2017
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (8)

Downloads: (external link)
http://hdl.handle.net/10.1080/00343404.2016.1255318 (text/html)
Access to full text is restricted to subscribers.

Related works:
Working Paper: Depressing dependence? Transfers and economic growth in the German States, 1975-2005 (2017)
Working Paper: Depressing Dependence? Transfers and Economic Growth in the German States, 1975-2005 (2016)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:taf:regstd:v:51:y:2017:i:12:p:1815-1825

Ordering information: This journal article can be ordered from
http://www.tandfonline.com/pricing/journal/CRES20

DOI: 10.1080/00343404.2016.1255318

Access Statistics for this article

Regional Studies is currently edited by Ivan Turok

More articles in Regional Studies from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().