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European Regional Inequalities: The Other Face of Development

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  • Celeste Perrucchini
  • Hiroshi Ito

Abstract

Empirical evidence suggests an overall convergence in terms of GDP and per capita income occurring among the European Union (EU) Member States. Nevertheless, economic inequalities have been increasing at the regional level within European Union countries. Through the review of relevant literature, this study analyzes the increasing inequalities from an economical point of view, focusing on Italy and the UK as examples. First, a general overlook of the empirical evidence of the GDP and per capita income at national and sub-national levels will be presented. Second, an explanation of the possible causes of the results will be proposed through the use of economical and sociological theories. The findings of this research might uncover the relative inefficacy of EU Cohesion policies and point towards the necessity for deeper and more thoughtful measures to continue the convergence of Member States while preserving internal equilibria. This paper ends with discussions for the future directions of the EU.

Suggested Citation

  • Celeste Perrucchini & Hiroshi Ito, 2017. "European Regional Inequalities: The Other Face of Development," International Journal of Economics and Finance, Canadian Center of Science and Education, vol. 9(4), pages 163-171, April.
    • Handle: RePEc:ibn:ijefaa:v:9:y:2017:i:4:p:163-171
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    References listed on IDEAS

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    1. K.H. Midelfart & H.G. Overman & S.J. Redding & A.J. Venables, 2000. "The location of European industry," European Economy - Economic Papers 2008 - 2015 142, Directorate General Economic and Financial Affairs (DG ECFIN), European Commission.
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    More about this item

    Keywords

    European Union; regional inequality; levels of development;
    All these keywords.

    JEL classification:

    • R00 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General - - - General
    • Z0 - Other Special Topics - - General

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