The dynamics of regional inequalities
Eric Strobl () and
Salvador Barrios ()
No 2006-01, Working Papers from FEDEA
This paper analyses empirically the link between regional inequalities and economic development. Our starting hypothesis in this regard is that the evolution of regional inequalities should follow a bell-shaped curve depending on the level of national economic development since growth by its very nature is unlikely to appear everywhere at the same time, as has been argued by a number of authors, such as Kuznets (1955) to Lucas (2000). We test this hypothesis econometrically using semi-parametric estimation techniques and regional data for a panel of European countries. Our results provide strong support for such a bell-shaped curve and are robust to changing the regional administrative units and the time period, as well as controlling for other possible determinants of regional inequalities. We derive a number of policy implications from our results.
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Journal Article: The dynamics of regional inequalities (2009)
Working Paper: The dynamics of regional inequalities (2005)
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Persistent link: https://EconPapers.repec.org/RePEc:fda:fdaddt:2006-01
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