China's fast growth has been accompanied by rising regional inequality, triggering debate over a policy trade-off between aggregate growth and equity. We set out a three-region model of China in which local government behavior affects local TFP dynamics, and regional inequality itself generates...

The economic development of Argentina since the end of the nineteenth century is a story of growth, splendour and then stagnation and relative decline. In this chapter we present the first consistent formal quantitative analysis of the regional dimension of that story. By putting together...