Capital Accumulation,Economic Restructuring,and Nonequilibrium Regional Growth Dynamics

Recently, there has been a resurgence of interest in explaining the significance and persistence of regional growth differentials. Much of the debate in contemporary political economy has focussed on the relative importance of either “weak” or “strong” competition in regulating movements in prices, profits, and investments both within and between economic sectors and regions. However, little attention has been directed toward developing theoretical models that are capable of evaluating the relative importance of (non) equilibrating forces in determining the long-run accumulation dynamics of capitalist space economies. In this paper, I develop an approach to modeling regional growth that simultaneously theorizes the link between processes of economic restructuring and regional capital accumulation. I examine the stability properties of this model in order to evaluate the theoretical significance of both equilibrating and nonequilibrating forces in determining the trajectory of regional outputs, profits and employment.