ABSTRACT

This chapter examines the regional territorial structure of Hungary and the patterns and causes of regional development and disparity trends. The most prominent feature of regional development disparities in Hungary is the east-west divide, with the Danube river acting as an important dividing line. Population decrease is anticipated in Hungary on the basis of age structure and current demographic trends. The economic transition resulted in a weakening of their dependent role and the underlying conditions are often insufficiently good to attract foreign direct investment. The nature of economic transition and its continued uncertainties make projections of economic development processes and prospects only possible in the medium-term. The recent identification of the main target areas for Hungarian regional policy has followed the principles of the European Union, adapting them to the particular requirements of the situation in Hungary.