Dow S (2017) Regional Finance. In: Richardson D, Castree N, Goodchild M, Kobayashi A, Liu W & Marston R (eds.) The International Encyclopedia of Geography. London: Wiley-Blackwell. http://onlinelibrary.wiley.com/book/10.1002/9781118786352; https://doi.org/10.1002/9781118786352.wbieg0472
Analysis of the relationship between regional economic conditions and finance varies according to the underlying theoretical framework. Mainstream analysis allows a lasting effect of finance only as a result of financial inefficiency which may persist but is ultimately eliminable. In contrast, Post Keynesian analysis of regional finance focuses on the spatial dimension of enduring interrelationships between real and financial developments. While the former approach emphasises regional economic convergence, the latter approach emphasises the forces for divergence. The entry addresses the spatial structure of the financial sector, the regional impact of monetary policy and the relationship between finance and regional development.
regional economic development; regional finance