Hans-Werner Sinn Frank Westermann

Due "Mezzogiorni"

Are you already subscribed?
Login to check whether this content is already included on your personal or institutional subscription.

Abstract

The analogy between the economic problems of the Mezzogiorno region and East Germany has been initially contested by many authors. This paper argues that there are striking similarities in the two regions, in terms of the causes of their economic predicament. With an aggregate labour productivity of 55-60% relative to the rest of the country, both are true transfer economies, whose consumption exceeds production by far. Beyond locational disadvantages, the present paper identifies overdrawn wages, high social security spending and the Dutch disease problem as core reasons for the poor economic performance. Updating an earlier article on this topic, the paper finds, that there has not been a reversal of the trends described in recent years.

Preview

Article first page

What do you think about the recent suggestion?

Trova nel catalogo di Worldcat