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We examine the incentives of regions in a country to unite or toseparate. We find that smaller regions have greater incentives tounite, relative to larger regions. We show, however, that on thewhole, majority voting on separation and union generates excessiveincentives to separate. This leads us...
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more profound influence in shaping the world of tomorrow. Therefore a theory of economic integration must be formulated … which transcends the existing systems, i.e. a theory of co-integration. …
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