Large and economically diverse countries often face a problem of regional imbalances which goes beyond a simple division between a core and a periphery. In large countries regions "out of the core" demonstrate substantial variety in economic, social and cultural terms, they have difference...

Since the Second World War the West German states show persistent differences in their standard of living. The explanation of the incomplete catching-up process within West Germany is of crucial interest. After identifying productivity as the major growth driving force, this paper investigates...