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Economic Geography, Regional Policy of the European Union and its Potential for the Czech Republic
 Čížek, Libor ; Benáček, Vladimír (advisor) ; Flek, Vladislav (referee)
Deepening of economic integration leads to a fall of transaction costs between regions and consequently affects the economic geography of the whole territory. According to the new economic geography this process can bring alongside a rise in regional inequality, in specialization of regions and in geographic concentration of industries. Taking as a basis the theoretical foundations of this branch of economic theory we first review the empirical evidence on the changing pattern of the economic geography of the european regions. Afterwards we analyze in detail the evolution of the economic geography of Czech regions. First, we find that regional disparities are sharply rising but mainly due to the dynamics of the capital city. Second, we find that the Czech manufacturing sector underwent in the 90's a relatively strong deconcentration and this process was accompanied by a decrease in the specialization of the regional economies. Nowadays both regional specialization as well as concentration of industries are on the whole rather stagnating. We then discuss the implications of our findings for the design of the Cohesion policy in the Czech republic.
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