Many regions in Europe are stuck in a development trap and face significant structural challenges in retrieving past dynamism or improving prosperity for their residents. This column conceptualises what constitutes a development trap at a regional level in Europe and identifies which regions have been trapped or at risk of becoming trapped in recent years. Regional development traps can arise at many different levels of income. Springing these traps would improve overall European competitiveness and help quell the discontent and resentment of citizens living in these areas.
Nothing contributes so much to the prosperity and happiness of a country as high profits