Although it is well known that Markov process theory, frequently applied in the literature on income convergence …

The paper takes into account both the concerns of the EU, arguing that convergence is incomplete, and the demands from … accession countries, claiming that monetary integration is optimal. Indicators are developed which measure convergence and … benefits from monetary integration. The more serious problem is a lack of convergence which could imply serious risks during …

We provide a reappraisal of income convergence across European regions over the period 1990-2005 by using a … initial GDP per capita. Estimation results point out both country heterogeneity and non-linearity in the convergence process …. Only low income regions converge while there is little evidence of convergence for higher income regions. …