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Politics, Economics and Regions

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The Regional Problem
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Abstract

According to much regional theory there should be no regional problem. Its premises assume a harmonious self-adjustment in an idealised capitalist system. They maintain that if companies took work to where labour was most available while labour also migrated to where work could be found, everything would balance out. In such a way disparities in profits, wages and employment between different regions would be merely frictional. The resulting society might still be subject to class divisions between organised capital and organised labour, but social class divisions would not be aggravated by regional differentials in employment and income.

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Notes

  1. A.R. Kuklinski, Criteria for the Location of Industrial Plant, United Nations; Economic Commission for Europe (Geneva, 1967 ).

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  2. Such a view is most notably sponsored by Ian Little, A Critique of Welfare Economics (Oxford University Press, 1956).

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  3. Cf. Peter Hall, The Theory and Practice of Regional Planning ( London: Routledge & Kegan Paul, 1970 ) pp. 13 - 14.

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  4. Bertil Ohlin, Interregional and International Trade, first published in English (Harvard University Press, 1933). Further references in this text are to the revised edition, 1967.

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  5. Lucien Brocard, Principes d’économie nationale et internationale, 3 vols (Paris: Sirey, 1929-31) vol.1, p.11.

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  6. Gunnar Myrdal, Economic Theory and Underdeveloped Regions ( London: Duckworth, 1957 ).

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  7. Gunnar Myrdal, Asian Drama, 3 vols ( Harmondsworth: Penguin 1970 ).

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  8. nar Myrdal, An International Economy (London: Routledge & Kegan Paul, 1956).

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  9. François Perroux, ‘Les Espaces Economiques, Economie Appliquée, no.1 (1950) translated as ‘Economic Spaces: Theory and Applications’, Quarterly Journal of Economics (1950).

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  10. Cf. J.-R. Boudeville, Les espaces économiques (Presses Universitaires de France, 1964) and Problems of Regional Planning (Edinburgh University Press, 1966 ).

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  11. Cf. Edgar Hoover and Joseph Fisher, ‘Research in Regional Economic Growth’, in Problems in the Study of Economic Growth, Unive1rsities National Bureau Committee on Economic Research (1949).

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  12. A.J. Brown, The Framework of Regional Economics in the United Kingdom (Cambridge University Press, 1972) pp.83 and 232. This was initially a study undertaken on behalf of the National Institute of Economic and Social Research (N.I.E.S.R.).

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  13. See further A.B. Atkinson, Unequal Shares (Allen Lane, The Penguin Press, 1972) ch.1.

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  14. For the author's own further work in this area cf., inter alia, The Socialist Challenge ( London: Quartet, 1975 ).

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  15. See Stuart Holland (ed.), The State as Entrepreneur (London: Weidenfeld & Nicolson, 1972) for an analysis of the role of the I.R.I. State Holding Company in providing a direct regional development instrument in the South of Italy (especially chs 1 and 7). For an earlier study covering both I.R.I. and the other main Italian State Holding Companies see M.V. Posner and S.J. Woolf, Italian Public Enterprise ( London: Duckworth, 1967 ).

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© 1976 Stuart Holland

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Holland, S. (1976). Politics, Economics and Regions. In: The Regional Problem. Palgrave Macmillan, London. https://doi.org/10.1007/978-1-349-15637-5_1

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