REGIONAL DEVELOPMENT: Convergence or Divergence? Regional disparities in Romania and the effect of moving closer to the EU
REGIONAL DEVELOPMENT: Convergence or Divergence? Regional disparities in Romania and the effect of moving closer to the EU
Author(s): Sorin IoniţăSubject(s): Politics / Political Sciences
Published by: Societatea Academică Română (SAR)
Keywords: Romania - wealth and dynamism; population; social problems; structure of labour; Average monthly gross salary by the NUTS2 regions
Summary/Abstract: In Romania the transition to market and democracy was more difficult and traumatic than in other CEE countries due to the severe distortions inherited from the communist regime. The attempts to distribute more or less evenly industries and wealth over the whole territory of Romania, guided from Bucharest and constituting explicit policy for many decades before 1989, led to perverse effects: over-investment in prestige projects and under-investment in infrastructure and human capital; industrial white elephants; the emergence of mono-industrial towns or areas, relying on a single large company for their whole socioeconomic life; and a network of cross-subsidies between branches and regions that made impossible to know what was economically viable and what not.
Journal: Policy Warning Report (PWR)
- Issue Year: 2005
- Issue No: 02
- Page Range: 25-32
- Page Count: 8
- Language: English