A classic observation in economics is that living standards vary widely across countries. That living standards across also differ greatly between regions within countries is stressed less frequently. This is even though this observation is striking given that the different regions share the institutional structure and that workers and capital can move freely between different regions within a country. In this seminar, we will study potential reasons for the regional differences in living, and also ask how policy can help to align the standard of living across regions.
More specifically, we will tackle the following questions: How do productivity differences and rental markets affect the location of production? How large are the productivity gains of agglomerations? How does structural change---the decline of heavy industries or the rise of robots---and the rise of international trade affect local prosperity? And can policy affect regional economic conditions, and if so, how?- Trainer/in: Lukas Buchheim
- Trainer/in: Lukas Rosenberger