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Path-dependence and Spatial Inequalities - Implications of Major Shocks on Urban Growth Patterns in East Germany

Leister, Tim LU (2018) EKHS11 20181
Department of Economic History
Abstract
The economic potential of East Germany still severely lags behind that of the West. A scarcity of urban agglomerations is associated with this disparity. The origins of this disparity are insufficiently explored with regards to the spatial inequalities of urban growth induced by the two major shocks of central planning and reunification. By creating long-term time series for city growth and population density, this study analyses the implications of these two major shocks on the development of urban growth in East Germany. Guided by a framework of agglomeration economies and economic geography, the research further determines why historical patterns of the German Democratic Republic either persisted or not. The results indicate negative... (More)
The economic potential of East Germany still severely lags behind that of the West. A scarcity of urban agglomerations is associated with this disparity. The origins of this disparity are insufficiently explored with regards to the spatial inequalities of urban growth induced by the two major shocks of central planning and reunification. By creating long-term time series for city growth and population density, this study analyses the implications of these two major shocks on the development of urban growth in East Germany. Guided by a framework of agglomeration economies and economic geography, the research further determines why historical patterns of the German Democratic Republic either persisted or not. The results indicate negative implications for formerly historical growth centers due to a shift in economic productivity to the Northeast. After reunification, this weakening of preexisting structures manifests itself in very few remaining large cities, stifling agglomeration economic potential in present day. The decline of former growth regions of the German Democratic Republic is in part attributed to its eastward bias. The German Democratic Republic’s focus on medium- and big-sized cities, which cannot generate sufficient returns to scale, is shown to constitute a disadvantage upon reunification. The findings showcase a difficulty of governmental efforts to mitigate an increase of the gap between large cities and the rest of East Germany. This implies a choice between fostering the present growth centers or a continuity of fruitless regional equalisation attempts. (Less)
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author
Leister, Tim LU
supervisor
organization
course
EKHS11 20181
year
type
H2 - Master's Degree (Two Years)
subject
keywords
spatial inequalities, urban growth, agglomeration economies, new economic geography, locational fundamentals, East Germany
language
English
id
8951270
date added to LUP
2018-06-21 13:33:09
date last changed
2018-06-21 13:33:09
@misc{8951270,
  abstract     = {{The economic potential of East Germany still severely lags behind that of the West. A scarcity of urban agglomerations is associated with this disparity. The origins of this disparity are insufficiently explored with regards to the spatial inequalities of urban growth induced by the two major shocks of central planning and reunification. By creating long-term time series for city growth and population density, this study analyses the implications of these two major shocks on the development of urban growth in East Germany. Guided by a framework of agglomeration economies and economic geography, the research further determines why historical patterns of the German Democratic Republic either persisted or not. The results indicate negative implications for formerly historical growth centers due to a shift in economic productivity to the Northeast. After reunification, this weakening of preexisting structures manifests itself in very few remaining large cities, stifling agglomeration economic potential in present day. The decline of former growth regions of the German Democratic Republic is in part attributed to its eastward bias. The German Democratic Republic’s focus on medium- and big-sized cities, which cannot generate sufficient returns to scale, is shown to constitute a disadvantage upon reunification. The findings showcase a difficulty of governmental efforts to mitigate an increase of the gap between large cities and the rest of East Germany. This implies a choice between fostering the present growth centers or a continuity of fruitless regional equalisation attempts.}},
  author       = {{Leister, Tim}},
  language     = {{eng}},
  note         = {{Student Paper}},
  title        = {{Path-dependence and Spatial Inequalities - Implications of Major Shocks on Urban Growth Patterns in East Germany}},
  year         = {{2018}},
}