Depressing dependence? Transfers and economic growth in the German states, 1975–2005

Baskaran T, Feld LP, Necker S (2017)

Publication Type: Journal article

Publication year: 2017

Journal

Regional Studies Taylor & Francis (Routledge)

Book Volume: 51

Pages Range: 1815-1825

Journal Issue: 12

DOI: 10.1080/00343404.2016.1255318

Abstract

Depressing dependence? Transfers and economic growth in the German states, 1975–2005. Regional Studies. Most countries pay substantial intergovernmental transfers to poor regions with the aim of achieving regional convergence. Consequently, transfers should have a positive effect on economic growth. However, it is equally possible that transfers perpetuate underdevelopment. This paper studies empirically the effect of intergovernmental transfers on economic growth with a panel of West German states over the period 1975–2005. The findings suggest that transfers do not foster economic growth, presumably because the recipients use them to subsidize declining industries.

Authors with CRIS profile

Sarah Necker

Additional Organisation(s)

Lehrstuhl für Volkswirtschaftslehre

Involved external institutions

Universität Siegen DE Germany (DE) Albert-Ludwigs-Universität Freiburg DE Germany (DE)

How to cite

APA:

Baskaran, T., Feld, L.P., & Necker, S. (2017). Depressing dependence? Transfers and economic growth in the German states, 1975–2005. Regional Studies, 51(12), 1815-1825. https://dx.doi.org/10.1080/00343404.2016.1255318

MLA:

Baskaran, Thushyanthan, Lars P. Feld, and Sarah Necker. "Depressing dependence? Transfers and economic growth in the German states, 1975–2005." Regional Studies 51.12 (2017): 1815-1825.

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