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Competitiveness and Connectivity: Integrating Lagging Regions in Global Markets


  • Farole, Thomas

    () (World Bank)


In recent decades, as integration of global trade and investment has accelerated, many countries—both developing and developed—have experienced widening disparities of output and income across regions within their borders. The emergence of entrenched “leading” and “lagging” regions is becoming an important policy challenge, particularly in many middle-income countries. This note discusses the role of trade integration in shaping and addressing the challenges of lagging regions.

Suggested Citation

  • Farole, Thomas, 2012. "Competitiveness and Connectivity: Integrating Lagging Regions in Global Markets," World Bank - Economic Premise, The World Bank, issue 93, pages 1-5, October.
  • Handle: RePEc:wbk:prmecp:ep93

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    References listed on IDEAS

    1. Andrés Rodríguez‐Pose, 2012. "Trade and Regional Inequality," Economic Geography, Clark University, vol. 88(2), pages 109-136, April.
    2. Lendle, Andreas & Olarreaga, Marcelo & Schropp, Simon & Vézina, Pierre-Louis, 2012. "There goes gravity: how eBay reduces trade costs," CEPR Discussion Papers 9094, C.E.P.R. Discussion Papers.
    3. Farole, Thomas & Winkler, Deborah, 2011. "Firm location and the determinants of exporting in developing countries," Policy Research Working Paper Series 5780, The World Bank.
    4. Charles Kunaka, 2011. "Logistics in Lagging Regions : Overcoming Local Barriers to Global Connectivity," World Bank Publications, The World Bank, number 2543, June.
    5. Andy Sumner, 2010. "Global Poverty and the New Bottom Billion: What if Three-quarters of the World?s Poor Live in Middle-income Countries?," Working Papers 74, International Policy Centre for Inclusive Growth.
    6. World Bank, 2009. "Geography in Motion: World Development Report 2009 (excerpt)," Transnational Corporations Review, Ottawa United Learning Academy, vol. 1(3), pages 40-46, September.
    7. Carvalho, Alexandre & Lall, Somik V. & Timmins, Christopher, 2006. "Regional subsidies and industrial prospects of lagging regions," Policy Research Working Paper Series 3843, The World Bank.
    8. Baylis, Kathy & Garduño-Rivera, Rafael & Piras, Gianfranco, 2012. "The distributional effects of NAFTA in Mexico: Evidence from a panel of municipalities," Regional Science and Urban Economics, Elsevier, vol. 42(1-2), pages 286-302.
    9. Nicita, Alessandro, 2004. "Who benefited from trade liberalization in Mexico? Measuring the effects on household welfare," Policy Research Working Paper Series 3265, The World Bank.
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    Cited by:

    1. World Bank, 2013. "Growth without Borders : A Regional Growth Pole Diagnostic for Southern Africa," World Bank Other Operational Studies 16708, The World Bank.

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    JEL classification:

    • O1 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development
    • O3 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights
    • O4 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity


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