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Changing Market Potentials, Regional Growth and Income Disparities in Poland

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  • Jesús López-Rodríguez
  • Malgorzata Runiewicz-Wardyn

Abstract

In this paper we analysed to which extent the changes in market potentials in Poland have been a cause for increasing income disparities, which were observed across Polish regions from 1995 to 2008. To do so we derived and estimated a New Economy Geography Model, which relates per capita GDP growth rates to changes in market potential. The results of the crosssection estimations of the model for the period 1995-2008 and for its different subsamples point to a positive and significant effect of changing market potentials in per capita GDP growth rates. Due to the fact that core-economic regions have mostly benefited in terms of market potential growth during 1995-2008, these results confirm the important role played by the relative changing in market potentials across Polish regions in widening the gap between poor and rich regions in the country in the period of analysis.

Suggested Citation

  • Jesús López-Rodríguez & Malgorzata Runiewicz-Wardyn, 2014. "Changing Market Potentials, Regional Growth and Income Disparities in Poland," Prague Economic Papers, Prague University of Economics and Business, vol. 2014(1), pages 63-83.
  • Handle: RePEc:prg:jnlpep:v:2014:y:2014:i:1:id:473:p:63-83
    DOI: 10.18267/j.pep.473
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    References listed on IDEAS

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    Cited by:

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    2. Jesús López-Rodríguez & Cosmin Bolea-Gabriel, 2012. "Urban Geographical Economics and per Capita GDP Growth in Romania," European Research Studies Journal, European Research Studies Journal, vol. 0(3), pages 109-134.

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    More about this item

    Keywords

    Poland; market potential; regional differences; growth rates;
    All these keywords.

    JEL classification:

    • F12 - International Economics - - Trade - - - Models of Trade with Imperfect Competition and Scale Economies; Fragmentation
    • F23 - International Economics - - International Factor Movements and International Business - - - Multinational Firms; International Business
    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes
    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)
    • R13 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - General Equilibrium and Welfare Economic Analysis of Regional Economies
    • R14 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Land Use Patterns

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