Capital accumulation and regional economic performance: the Australian experience

The accumulation of capital is the driving force of the capitalist economy. Various conditions are necessary for accumulation to proceed and each has important spatial aspects. The paper demonstrates that an analysis of these aspects provides a potentially useful framework for understanding the relationship between regional development and economic growth, with particular reference to the Australian experience. Moreover, it is shown that spatial restructuring plays an important role during periods of economic recession in re-establishing the conditions for further growth. This analysis also illuminates some of the limitations of more conventional regional growth theories and debates on convergence versus divergence in regional economic performance.