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Internal Geography and External Trade: regional disparities in Italy, 1861-2011

Author

Listed:
  • Brian A'Hearn

    (Pembroke College, Oxford)

  • Anthony J. Venables

    (Department of Economics, University of Oxford & CEPR)

Abstract
This paper explores the interactions between external trade and regional disparities in the Italian economy since unification. It argues that the advantage of the North was initially based on natural advantage (in particular the endowment of water, intensive in silk production). From 1880 onwards the share of exports in GDP stagnated and then declined; domestic market access therefore became a key determinant of industrial location, inducing fast growing new sectors (especially engineering) to locate in regions with a large domestic market, i.e. in the North. From 1945 onwards trade growth and European integration meant that foreign market access was the decisive factor; the North had the advantage of proximity to these markets.

Suggested Citation

  • Brian A'Hearn & Anthony J. Venables, 2011. "Internal Geography and External Trade: regional disparities in Italy, 1861-2011," Quaderni di storia economica (Economic History Working Papers) 12, Bank of Italy, Economic Research and International Relations Area.
    • Handle: RePEc:bdi:workqs:qse_12
    as

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    References listed on IDEAS

    as
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    Citations

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    Cited by:

    1. Julio Martinez-Galarraga & Daniel A. Tirado & Rafael González-Val, 2015. "Market potential and regional economic growth in Spain (1860–1930)," European Review of Economic History, European Historical Economics Society, vol. 19(4), pages 335-358.
    2. Vittorio Daniele & Paolo Malanima, 2014. "Falling disparities and persisting dualism: Regional development and industrialisation in Italy, 1891–2001," Investigaciones de Historia Económica - Economic History Research (IHE-EHR), Journal of the Spanish Economic History Association, Asociación Española de Historia Económica, vol. 10(03), pages 165-176.
    3. Felice, Emanuele & Vecchi, Giovanni, 2015. "Italy’s Modern Economic Growth, 1861–2011," Enterprise & Society, Cambridge University Press, vol. 16(2), pages 225-248, June.
    4. Patrizia Battilani & Emanuele Felice & Vera Zamagni, 2014. "Il valore aggiunto dei servizi 1861-1951: la nuova serie a prezzi correnti e prime interpretazioni," Quaderni di storia economica (Economic History Working Papers) 33, Bank of Italy, Economic Research and International Relations Area.
    5. Daniele, Vittorio & Malanima, Paolo, 2013. "Perché il Sud è rimasto indietro? Il Mezzogiorno fra storia e pubblicistica [Why Did the South Fall Behind? The Italian Mezzogiorno between History and Pamphlets]," MPRA Paper 59101, University Library of Munich, Germany.
    6. Anna Missiaia, 2016. "Where do we go from here? Market access and regional development in Italy (1871–1911)," European Review of Economic History, European Historical Economics Society, vol. 20(2), pages 215-241.
    7. Julio Martínez-Galarraga, 2014. "Market potential estimates in history: a survey of methods and an application to Spain, 1867-1930," Working Papers 0051, European Historical Economics Society (EHES).
    8. Łukasz Komorowski & Agata Mróz & Monika Stanny, 2020. "The Spatial Pattern of the Absorption of Cohesion Policy Funds in Polish Rural Areas," Land, MDPI, vol. 10(1), pages 1-16, December.
    9. Anna Missiaia, 2015. "The industrial geography of Italy: provinces, regions and border effects, 1871-1911," Working Papers 15012, Economic History Society.

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    More about this item

    Keywords

    industrialisation; market integration; new economic geography; geographic concentration; Italian regions;
    All these keywords.

    JEL classification:

    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • F15 - International Economics - - Trade - - - Economic Integration
    • N63 - Economic History - - Manufacturing and Construction - - - Europe: Pre-1913
    • N64 - Economic History - - Manufacturing and Construction - - - Europe: 1913-
    • N93 - Economic History - - Regional and Urban History - - - Europe: Pre-1913
    • N94 - Economic History - - Regional and Urban History - - - Europe: 1913-
    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes
    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)

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