ABSTRACT

This chapter explores Finland’s remarkable growth trajectory from a geographical perspective. Geographically, Sweden-Finland was a circular country, surrounding the Gulf of Bothnia almost as an interior lake. Finland’s industrial take-off is said to have taken place in the latter half of the nineteenth century, and is often described as an export success story. While the two provinces on the western coast accounted for 32 per cent of Finland’s GDP in 1880, their share in 2010 is down to 19 per cent. The chapter shows that Finland’s regions were relatively unequal in terms of GDP per capita and in European comparison during early industrialization. Regional GDPs from 1880 to 2010 have been estimated following the method developed by Geary and Stark. After 1980, regional divergence has been the trend in Finland. The Finnish weakening of regional convergence also appears to be part of a wider phenomenon documented on an European Union-wide basis.