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Persistent regional gaps and the role of social capital: hints from the Italian Mezzogiorno's case

Pigliaru, Francesco (2009) Persistent regional gaps and the role of social capital: hints from the Italian Mezzogiorno's case. Working Paper. CRENoS, Cagliari.

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In this article I maintain that until the mid Seventies the regions of the Italian Mezzogiorno have followed a well-known path of divergence and convergence – a pattern in common with many other similar cases. The main characteristic of the Mezzogiorno’s case, however, is that the convergence phase has led the area to a remarkably unfavourable steady-state. Further, I suggest that the disappointing results obtained in the area by several and richly financed public policies – and the high persistence of the unfavourable steady-state – are partly due to the lowerquality institutions in the southern regions. In the second part of the article I discuss recent contributions that associate this failure of local institutions to the scarcity of social capital, and that explain the persistence of this scarcity assuming the existence of mechanisms of intergenerational transmission of values and norms that change very slowly in time. Finally, in the final part I discuss briefly the role of economic policy in the presence of mechanisms of this nature

Item Type:Technical Report / Working Paper / Project Report (Working Paper)
Institution:Universita' degli Studi di Cagliari
Divisions:Centri > CRENoS Centro Ricerche Economiche Nord Sud
Subjects:Area 13 - Scienze economiche e statistiche > SECS-P/01 Economia politica
Uncontrolled Keywords:Convergence, Institutions and Economic Growth, Social Capital
ID Code:408
Deposited On:08 Nov 2009 12:35

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