Abstract:

For centuries, economic growth has been in the sphere of interest not only of economists but also of representatives of other sciences. Already A. Smith in his outstanding work referred to the issue of raising welfare. Research on economic growth has been conducted for years by researchers such as J. Schumpeter, R. Solow, F. Ramsey, P. Diamond, P. Romer, R. Lucas, S. Rebelo, P. Aghion, and P. Howitt. Methods of increasing the wealth and standard of living of inhabitants developed based on theory are often implemented in practice by decision-makers. There are many determinants of development that are richly described in the literature on the subject. The authors of this text unanimously emphasize that regional issues and disproportions between various territorial units, which are characterized by different specificity, are often too little discussed in the discussion of development. These issues are comprehensively dealt with by the new economic geography. It has been fully recognized as economic science and not as part of the natural sciences as it has been so far due to its impact on explaining development disparities based on geographic diversity. The basis for the emergence of the new economic geography was the theory of location, initiated in the 19th century by German researchers. It is its theoretical foundations that have had the greatest impact on the contemporary shape of considerations on geographical potential in the context of explaining regional development.