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Regional Policy, Integration and the Location of Industry

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Author Info
Forslid, Rikard () (Dept. of Economics, Stockholm University)
Abstract

Many countries devote a large part of their national budget to regional policy. This paper analyses the interaction of economic integration and some typical regional policies in a new economic geography model with three regions of different size. The policies analysed are the relocation of government activities, infrastructure investment and subsidies to the establishment of industry. It is shown how regional policy can easily be misdirected.

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File URL: http://www.ne.su.se/paper/wp03_07.pdf
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Publisher Info
Paper provided by Stockholm University, Department of Economics in its series Research Papers in Economics with number 2003:7.

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Length: 17 pages
Date of creation: 01 Jun 2003
Date of revision:
Handle: RePEc:hhs:sunrpe:2003_0007

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Postal: Department of Economics, Stockholm, S-106 91 Stockholm, Sweden
Phone: +46 8 16 20 00
Fax: +46 8 16 14 25
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Web page: http://www.ne.su.se/
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Related research
Keywords: agglomeration economic geography regional policy

Find related papers by JEL classification:
F12 - International Economics - - Trade - - - Models of Trade with Imperfect Competition and Scale Economies
F15 - International Economics - - Trade - - - Economic Integration
F21 - International Economics - - International Factor Movements and International Business - - - International Investment; Long-Term Capital Movements
R12 - Urban, Rural, and Regional Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)

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This page was last updated on 2008-7-5.

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