Publication: Overcoming Left-Behindedness: Moving beyond the Efficiency versus Equity Debate in
Territorial Development
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Date
2024-03-26
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2024-03-26
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Abstract
Territorial development theory and practice have witnessed significant change in recent times. This change has increasingly put the spatial dimension at the center of development policies. Although agglomeration-focused policies derived from urbanization and agglomeration economics were once prominent, their empirical limitations have become increasingly apparent. Greater territorial polarization and pervasive left-behindedness have underscored the need for a more inclusive territorial development approach, prompting increased interest in understanding and addressing regional disparities to ensure more equitable economic growth. This paper synthesizes the growing interest in territorial development, which has driven the adoption of what are increasingly place-based and place-sensitive approaches to development. The paper also emphasizes the need for complementarity between efficiency-driven and equity-focused interventions, while highlighting emerging topics in regional economics research, including the role of institutions, agency, and external megatrends such as the green transition. The paper concludes by advocating a place-sensitive approach that tailors policies to regional challenges, promoting economic potential, diversification, and inclusivity across all regions.
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“Rodríguez-Pose, Andrés; Bartalucci, Federico; Dávalos, Maria; Lozano-Gracia, Nancy. 2024. Overcoming Left-Behindedness: Moving beyond the Efficiency versus Equity Debate in
Territorial Development. Policy Research Working Paper; 10734. © World Bank. http://hdl.handle.net/10986/41287 License: CC BY 3.0 IGO.”
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