This paper describes the determinants of FDI location among Italian provinces, focusing on the role of market potential (in terms of market access to Mediterranean and European countries) and institutions (presence of Mafia-type crime, corruption of public officers, inefficiency of the labour...

The paper asks whether subsidies aiming to redistribute economic activity across regions can be justified with the welfare argument. Moreover, different tax systems are compared with respect to the size of the subsidy needed for achieving a certain spatial distribution of economic activity, and...

We study the dynamics of inter-regional economic disparities for a number of development characteristics, test the hypothesis of the new economic geography and connect the results with the prediction of the bell curve describing spatial concentration over time. The results of our analysis...

We study the dynamics of inter-regional disparities for a number of characteristics of the development, test the hypothesis of the new economic geography and connect the results with the prediction of the bell-shaped curve describing the spatial concentration over time. Empirical analysis shows...

Regional disparity is one of the important characteristics of Turkish economy. The paper focuses on the explanatory power of market potential on the regional differences in Turkey. Regional divergences in wages and employment are used as the proxies for regional differences. Empirical results...

Empirical evidence about income convergence among regions and countries is inconclusive and it is necessary to clarify the economic and institutional conditions for convergence. We investigate movements in the income distribution among regions in an integrated market with high mobility of labor,...

Using a natural experiment from Germany, we show that temporary place-based subsidies generate persistent effects on economic density. We identify employment and capital formation as main channels for higher income per square kilometer. As the spatial regression discontinuity design allows us to...

The objective of the present paper is to study the impact of R&D investment on inter-regional labour migration and inter-sectoral labour reallocation in the EU, specifically at regional level. In order to capture important general equilibrium effects, we employ a structural NEG model called...