Growing regional disparities in Europe threaten social equality and economic growth.
The article examines economic inequalities in European regions over the past 15 years. It finds that regional disparities are wider than country-level disparities, leading to a disconnect between production and income geography. This disparity is also seen in Italy. Economic concentration in certain areas affects growth and social inequalities. Spatial disparities impact interpersonal inequalities, with social expenditure and wealth levels helping to lessen the effect. The relationship between regional disparities and GDP growth suggests a trade-off between spatial equity and economic growth. Recent changes in inter-regional inequalities call for a reevaluation of policy frameworks, particularly in terms of balancing people-focused and place-focused policies.