The paper asks whether subsidies aiming to redistribute economic activity across regions can be justified with the welfare argument. Moreover, different tax systems are compared with respect to the size of the subsidy needed for achieving a certain spatial distribution of economic activity, and...

Territory is a geographical concept; however, it also contains political denotation. Territory is considered as an integral part of sovereignty: a sovereign state must possess a geographical area on which the sovereign establishes its authority and exercises its power. However, has this close...