ECONOMIC REMOTENESS AND WAGE DISPARITIES IN ROMANIA

This paper looks at the link between wage disparities and market access for the Romanian regions. First, we derive an econometric specification which relates the income levels of a particular location with a weighted sum of the volume of economic activities of the surrounding locations (market access). Then, empirically, we estimate this econometric specification for a sample of 42 Romanian regions in the year 2006. The results show that market...