Income Convergence, Product Cycles, and Space: Exploring How Wages Influence Growth in the Spatial Economy

Over the past 30 years, the United States has seen a great transference of wealth from its old manufacturing regions to its regions of comparatively less wealth. This transfer can be explained through Convergence Theory, which predicts exactly that type of movement. However, some locations of initial wealth managed to maintain their position of comparative wealth, suggesting an additional force influencing the locations of investment. The...