Regional Inequality

Regions with less income should have the highest growth rates. Capital is scarce in the more disadvantaged regions, which means higher profitability. In theory, this should encourage investment; but is that what has happened during crisis and recovery in Spain?

Key points

• Key points:
• On the one hand, there are rich communities that have gained ground on the average. On the other hand, there are more disadvantaged regions that have lost ground.
• Regions with less income suffered greater job loss, yet this had no differential impact on the increase that they all experienced in productivity.
• In the face of the next recession, the role that regional demand policies can play would make an interesting topic of study.

Authors

Geographies

Topics

Tags