ABSTRACT
Regional policy is relevant not only for the spatial distribution of economic activity, but also because it often involves big money. It may be prone to influences, even abuse, by various interest groups. In larger countries composed of many regions and often inhabited by different nationalities, regional and social policies play, in part, the role of the state ‘glue’. Losers may accept such a negative status, but not for too long. Hence, politicians find justifications for intervention.
