Integration and the regions of Europe: how the right policies can prevent polarization

Abstract:

Further European integration will increase the incentives for regional specialisation of economic activity. People and firms will increasingly cluster together with those that share their particular know-how and skills. Will this lead to a polarised Europe, in which some regions buzz with activity while others decline? Not necessarily - but the danger is there.

The central message of the tenth Monitoring European Integration report is that polarization is not inevitable: growth and cohesion are not necessarily enemies. Unless misguided policies determine otherwise, they are allies.

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