[Annotated] The right way to help declining places

Time for fresh thinking about the changing economics of geography^[각주:1]

Populism's wave^[각주:2] has yet to crest^[각주:3]. That is the sobering lesson of ^[각주:4]recent elections in Germany and Austria, where the success of anti-immigrant^[각주:5], anti-globalization parties showed that a message of hostility to^[각주:6] elites and outsiders^[각주:7] resonates as strongly as^[각주:8] ever among those fed up with^[각주:9] the status quo^[각주:10]. It is also the lesson from America, where Donald Trump is doubling down on^[각주:11] gestures to his angry base, most recently by adopting^[각주:12] a negotiating position on^[각주:13] NAFTA that is more likely to wreck^[각주:14] than remake^[각주:15] the trade agreement^[각주:16].

These remedies^[각주:17] will not work. The demise of^[각주:18] NAFTA will disproportionately hurt^[각주:19] the blue-collar workers who back Mr Trump^[각주:20]. Getting tough on^[각주:21] immigrants will do nothing to improve economic conditions in^[각주:22] eastern Germany, where 20% of voters backed the far-right^[각주:23] Alternative for Germany. But the self-defeating nature of^[각주:24] populist policies will not blunt^[각주:25] their appeal. Mainstream parties^[각주:26] must offer voters who feel left behind^[각주:27] a better vision of the future, one that takes greater account of^[각주:28] the geographical reality^[각주:29] behind the politics of anger.

Location, location, vocation

Economic theory suggests that regional inequalities^[각주:30] should diminish as poorer (and cheaper) places attract investment^[각주:31] and grow faster than richer ones. The 20th century bore that theory out^[각주:32]: income gaps^[각주:33] narrowed across^[각주:34] American states and European regions. No longer. Affluent places^[각주:35] are now pulling away from^[각주:36] poorer ones. This geographical divergence^[각주:37] has dramatic consequences. A child born in the bottom 20% in wealthy San Francisco has twice as much chance as a similar child in Detroit of ending up in the top 20% as an adult. Boys born in London's Chelsea can expect to live nearly nine years longer than those born in Blackpool. Opportunities are limited for those stuck in the wrong place, and the wider economy suffers. If all its citizens had lived in places of high productivity^[각주:38] over the past 50 years, America's economy could have grown twice as fast as it did.

Divergence is the result of big forces. In the modern economy scale is increasingly^[각주:39] important. The companies with the biggest boards of data can train their machines most effectively^[각주:40]; the social network that everyone else is on is most attractive to new users; the stock exchange with^[각주:41] the deepest pool of^[각주:42] investors is best for raising capital^[각주:43]. These returns to scale^[각주:44] create fewer, superstar firms clustered in^[각주:45] fewer, superstar places. Everywhere else^[각주:46] is left behind. 

Even as regional disparities widen^[각주:47], people are becoming less mobile^[각주:48]. The percentage of Americans who move across^[각주:49] state lines^[각주:50] each year has fallen by half since the 1990s. The typical American is more footloose than^[각주:51] the average European, yet lives less than 30 kilometers from his parents. Demographic shifts^[각주:52] help explain this, including the rise in two-earner households^[각주:53] and the need to care for ageing family members^[각주:54]. But the bigger culprit^[각주:55] is poor policies. Soaring^[각주:56] housing costs in^[각주:57] prosperous cities^[각주:58] keep newcomers out^[각주:59]. In Europe a scarcity of^[각주:60] social housing^[각주:61] leads people to hang on to cheap flats^[각주:62]. In America the spread of state-specific occupational licensing^[각주:63] and government benefits^[각주:64] punishes those who move. The pension of a teacher who stays in the same state could be twice as big as that of a teacher who moves mid-career^[각주:65].

Perversely^[각주:66], policies to help the poor unintentionally^[각주:67] exacerbate^[각주:68] the plight of^[각주:69] left-behind places. Unemployment and health benefits^[각주:70] enable the least employable people^[각주:71] to survive in struggling places^[각주:72] when once they would have had no choice but to move. Welfare makes capitalism less brutal for individuals, but it perpetuates the problems where^[각주:73] they live. 

Welcome to the place age

What to do? One answer is to help people move. Thriving places^[각주:74] could do more to build the housing^[각주:75] and infrastructure to accommodate newcomers^[각주:76]. Accelerating^[각주:77] the reciprocal recognition of^[각주:78] credentials^[각주:79] across state or national borders^[각주:80] would help people move to where they can be most productive^[각주:81]. But greater mobility^[각주:82] also has a perverse^[각주:83] side-effect^[각주:84]. By draining^[각주:85] moribund places of^[각주:86] talented workers, it exacerbates their troubles. The local tax-base^[각주:87] erodes^[각주:88] as productive workers leave, even as^[각주:89] welfare and pension obligations mount^[각주:90]. 

To avoid these outcomes^[각주:91], politicians have long tried to bolster left-behind places with^[각주:92] subsidies^[각주:93]. But such "regional policies" have a patchy record^[각주:94], at best^[각주:95]. South Carolina lured BMW to^[각주:96] the state in 1992 and from it built a thriving automotive^[각주:97] cluster^[각주:98]. But the EU's structural funds^[각주:99] raise output^[각주:100] and reduce unemployment only so long as funding continues^[각주:101]. California has 42 enterprise zones^[각주:102]. None has raised employment. Better for^[각주:103] politicians to focus on speeding up^[각주:104] the diffusion of^[각주:105] technology and business practices from^[각주:106] high-performing places^[각주:107]. A beefed-up^[각주:108] competition policy^[각주:109] could reduce industrial concentration^[각주:110], which saps^[각주:111] the economy of dynamism^[각주:112] while focusing the gains from growth in fewer firms and places. Fostering clusters by^[각주:113] encouraging the creation of private investment funds^[각주:114] targeted on particular regions might help.

Bolder still would be to expand the mission of local colleges. In the 19th century America created lots of public technical universities^[각주:115]. They were supposed to teach best practice to^[각주:116] farmers and factory managers in^[각주:117] small towns and rural areas. They could play that role again today for new technologies, much as Germany already has a network of applied-research institutions^[각주:118]. Politicians might even learn from Amazon, whose search for a home for a second headquarters has set off^[각주:119] a scramble among^[각주:120] cities hoping to lure the giant etailer^[각주:121]. Governments could award public research centers^[각주:122] - in the mould of^[각주:123] America's National Institutes of Health^[각주:124] or Euope's CERN^[각주:125] - to cities which prepare the best plans for policy reform and public investment^[각주:126]. This would aid the diffusion of new ideas^[각주:127] and create an incentive for^[각주:128] struggling places to help themselves.

Perhaps most of all, politicians need a different mindset^[각주:129]. For progressives^[각주:130], alleviating poverty^[각주:131] has demanded welfare; for libertarians^[각주:132], freeing up the economy^[각주:133]. Both have focused on people. But the complex interaction of demography^[각주:134], welfare and globalization means that is insufficient^[각주:135]. Assuaging the anger of the left-behind^[각주:136] means realizing that places matter^[각주:137], too.

1. geography ; 3. [sing.] (사회적) 지형도 [본문으로]
2. wave ; 2. OF ACTIVITY/FEELING | [C] (감정・움직임의) 파도; (특정한 활동의) 급증 ;; 참고 ; brainwave, heatwave [본문으로]
3. crest ; 2. [자동사][V] (美) (홍수・파도 등이) 최고조에 달하다 [본문으로]
4. sobering ; [형용사] 번쩍 정신이 들게 하는, 심각[진지]하게 만드는 [본문으로]
5. anti-immigrant ; 반이민 [본문으로]
6. hostility ; 1. [U] ~ (to/towards sb/sth) 적의, 적대감, 적개심 [본문으로]
7. outsider ; 1. (사회・집단의 일부로 받아들여지지 않는) 국외자[아웃사이더] [본문으로]
8. resonate ; [v], (격식) 3. ~ (with sb/sth) (…을) 상기시키다[떠올리게 하다]; (…의) 공명을 받다[반향을 불러일으키다] [본문으로]
9. be fed up with ; ~에 진저리가 나다 [본문으로]
10. status quo ; [sing.] (라틴어에서) 현재의 상황, 현상(現狀) [본문으로]
11. double down (on); 더 열심히, 끈질기게 하다, (두배로) 늘리다 [본문으로]
12. adopt ; 5. WAY OF BEHAVING | [타동사][VN] (격식) (태도・어조・표정 등을) 취하다 [본문으로]
13. negotiating position ; 협상 태도, 위치 [본문으로]
14. wreck ; [vn] 1. 망가뜨리다, 파괴하다 [본문으로]
15. remake ; [타동사][VN] (re・made , re・made / -'meId /) (영화・노래 등을) 새로[다르게] 만들다[리메이크하다]; (어떤 것을) 다시 만들다 [본문으로]
16. trade agreement ; 1. 무역 협정 2. 동의어 COLLECTIVE AGREEMENT ; [노동] (노사간의) 단체 협약; 단체 협약 세부 목차 [본문으로]
17. remedy ; (pl. -ies), [~ (for/to sth)] 1. 처리 방안, 해결[개선]책 [본문으로]
18. demise ; [sing.] 1. (기관・사상・기업 등의) 종말 2. (격식 또는 유머) 죽음, 사망 ;; 미국∙영국 [dɪ|maɪz] [본문으로]
19. disproportionately ; [부사] 불균형적으로, 불균형하게, 어울리지 않게. [본문으로]
20. back ; 2. SUPPORT | [타동사][VN] 도와주다, 지지[원조/후원]하다 [본문으로]
21. get[be] tough on ; 강경하게[엄하게] 나가다. ;; be strict with somebody whose behaviour you do not like; be ready to punish somebody [본문으로]
22. economic condition ; [명사] 경기, 경제상황 [본문으로]
23. far-right ; [형용사] 극우의, 극단적으로 보수적인. [본문으로]
24. self-defeating ; [형용사] (문제를 해결하기는 커녕) 문제를 오히려 키우는[골치 아프게 만드는]; 자멸적인 [본문으로]
25. blunt ; [vn] 1. 둔화[약화]시키다 [본문으로]
26. mainstream ; [sing.] the mainstream (사상・견해 등의) 주류[대세] [본문으로]
27. feel left behind ; 뒤쳐져 있다고 느끼다, 혼자 남은 것처럼 느끼다 [본문으로]
28. take account of ; ~을 고려하다[감안하다] ;; 동의어 ; take something into account [본문으로]
29. geographical ; [형용사] 지리학(상)의, 지리(학)적인 [본문으로]
30. regional inequality ; 지역 불균형, 지역간 불평등, 지역 격차 [본문으로]
31. attract[draw, lure] investment ; 투자를 유치하다 [본문으로]
32. bear out ; [동사] 지탱하다, 지지[지원]하다; 증거가 되다. ;; 동의어 ; back up, support, affirm, prove. [본문으로]
33. income gap ; (경영) 소득 격차 [본문으로]
34. narrow ; [동사] 좁아지다, (눈이) 찌푸려지다; 좁히다, (눈을) 찌푸리다 [본문으로]
35. affluent ; [형용사] 부유한 ;; 미국∙영국 [|ӕfluənt] [본문으로]
36. pull away from ; …에서 떼어놓다[구해내다], 벗어나다 [본문으로]
37. divergence ; [UC] 분기; 일탈(逸脫); (의견 등의) 차이; [수학·물리] 발산; [심리] 확산; [식물] 잎과 잎 사이의 거리; 방산[발산]성 [본문으로]
38. high productivity ; 높은 생산성 [본문으로]
39. increasingly ; [부사] 점점 더, 갈수록 더 [본문으로]
40. effectively ; 1. 효과적으로 [본문으로]
41. stock exchange ; [명사] (주로 단수로) 증권 거래소 [본문으로]
42. pool ; 5. GROUP OF THINGS/PEOPLE | [C] ~ (of sth) 이용 가능 인력 [본문으로]
43. raise capital ; 자본을 모으다, 자금을 조달하다 [본문으로]
44. returns to scale ; (경제) 규모에 대한 수익 [본문으로]
45. cluster ; [자동사][V + adv. / prep.] ~ (together) 무리를 이루다, (소규모로) 모이다 [본문으로]
46. everywhere else ; 다른 어느 곳에도(every other place) [본문으로]
47. disparity ; [U , C] (pl. -ies) (격식) (특히 한쪽에 불공평한) 차이 ;; 미국∙영국 [dɪ|spӕrəti] [본문으로]
48. mobile ; 3. (사람들이) (사회 계층・직업・거주지 등이) 유동적인 ;; 참고 ; upwardly mobile [본문으로]
49. move across ; to move from one side of something to the other [본문으로]
50. state line ; [명사] (미국 내의) 주 경계 [본문으로]
51. footloose ; [형용사] (사람・책임 등에) 매인 데 없는 [본문으로]
52. demographic shift ; 인구 통계학적 변화 [본문으로]
53. two earner household ; 맞벌이 부부가계 [본문으로]
54. ageing ; [형용사] 늙어[낡아] 가는, 노화하는 [본문으로]
55. culprit ; 2. (문제를 일으킨) 장본인 [본문으로]
56. soaring ; [형용사] 날아오르는; 원대한; 급상승하는 [본문으로]
57. housing cost ; (건축용어) 주거비(住居費) [본문으로]
58. prosperous ; [형용사] 번영한, 번창한 [본문으로]
59. keep sb/sth out (of sth) ; ~이 (~에) 들어가지 않게 하다 [본문으로]
60. scarcity ; [U , C] (pl. -ies) 부족, 결핍 [본문으로]
61. social housing ; [U] (영국에서)공공 지원 주택(저렴한가격에 구입・임차할수 있도록 지역개발위원회 등에서 제공하는 주택) [본문으로]
62. hang on to ; …을 고집하다(=keep), …을 꽉 잡다(=grasp). [본문으로]
63. occupational licencing ; (사회복지학) 직업면허 [본문으로]
64. government benefit ; 정부 보조금, 정부 혜택 [본문으로]
65. mid-career ; [NOUN] The middle point of one's career. ;; [ADJ] In the middle of one's career. [본문으로]
66. perversely ; [부사] 외고집으로, 고집 세게 ; 뜻대로 되지 않아, 곤란하게(도), 비뚤어지게 , 심술궂게 ; 정도를 벗어나 [본문으로]
67. unintentionally ; [부사] 고의 아니게, 무심코, 아무런 생각도 없이 [본문으로]
68. exacerbate ; [타동사][VN] (격식) (특히 질병・문제를) 악화시키다 ;; 미국식 [ɪg|zӕsərbeɪt] 영국식 [ɪg|zӕsəbeɪt] [본문으로]
69. plight ; [sing.] 역경, 곤경 [본문으로]
70. health benefits ; [명사] 건강 혜택, 의료 보험 [본문으로]
71. employable ; [형용사] 고용 자격을 갖춘, 고용할 만한 [본문으로]
72. struggling ; [형용사] 발버둥이 치는; 기를 쓰는, 분투하는 [본문으로]
73. perpetuate ; [타동사][VN] (격식) 영구화하다, 영속시키다 [본문으로]
74. thriving ; 1. 번성[번영]하는, 번화한; 성대한 2. <동식물이> 잘 자라는, 무성한 [본문으로]
75. housing ; 1. [U] 주택(특히 주택의 형태・가격・상태와 관련해서 언급할 때 씀) [본문으로]
76. accommodate ; 1. [타동사][VN] (살거나 지낼) 공간을 제공하다, 수용하다 [본문으로]
77. accelerate ; 1. 가속화되다; 가속화하다 [본문으로]
78. reciprocal ; [형용사] 상호간의 ;; 미국·영국 [rɪ|sɪprəkl] [본문으로]
79. credentials ; [pl.] 1. ~ (as/for sth) 자격 2. 자격 인증서, 자격증 ;; 미국∙영국 [krə|denʃlz] [본문으로]
80. national border ; [명사] 국경 [본문으로]
81. productive ; 2. 결실 있는, 생산적인 ; 참고 ; counterproductive [본문으로]
82. mobility ; [U] 1. (사회적) 유동성 ;; 참고 ; upward mobility [본문으로]
83. perverse ; [형용사] (사고방식・태도가) 비뚤어진[삐딱한] [본문으로]
84. side-effect ; [명사] 부작용 [본문으로]
85. drain ; 4. [타동사][VN] ~ sb/sth (of sth) (힘・돈 등을) 빼내 가다[소모시키다] [본문으로]
86. moribund ; (격식) 1. (산업・단체・관습 등이) 소멸[절멸] 직전의 2. 빈사 상태의 ;; 미국식 [|mɔ:rɪbʌnd;|mɑ:r-] 영국식 [|mɒrɪbʌnd] [본문으로]
87. local tax base ; (법률) 지방세과세표준(地方稅課稅標準) [본문으로]
88. erode ; [흔히 수동태로], [~ (sth) (away)] 2. (서서히) 약화시키다[무너뜨리다]; 약화되다[무너지다] [본문으로]
89. even as ; …하는 바로 그 순간에 [본문으로]
90. mount ; 2. INCREASE | [자동사][V] (서서히) 증가하다 ;; 참고 ; mounting [본문으로]
91. outcome ; [명사] 결과 [본문으로]
92. bolster ; [타동사][VN] ~ sth (up) 북돋우다, 강화[개선]하다 [본문으로]
93. subsidy ; [C , U] (pl. -ies) (국가・기관이 제공하는) 보조금[장려금] [본문으로]
94. patchy ; 2. (美 또한 spotty) (질적으로) 고르지 못한 [본문으로]
95. at best ; 기껏[잘 해야], 아무리 낙관하여도. ;; taking the most hopeful or positive view ;; 참고 ; at worst [본문으로]
96. lure ; [타동사][VN + adv. / prep.] (못마땅함) 꾀다, 유혹하다 [본문으로]
97. automotive ; [형용사] (격식) 자동차의 [본문으로]
98. cluster ; 2. (조밀하게 모여 있는 사람・동물 등의) 무리 [본문으로]
99. structural funds ; The Structural Funds and the Cohesion Fund are financial tools set up to implement the regional policy of the European Union. They aim to reduce regional disparities in income, wealth and opportunities. Europe's poorer regions receive most of the support, but all European regions are eligible for funding under the policy's various funds and programmes. The current Regional Policy framework is set for a period of seven years, from 2014 to 2020. [본문으로]
100. raise output ; 생산량, 산출량을 늘리다. [본문으로]
101. funding ; [U] 자금; 자금 제공[재정 지원] [본문으로]
102. enterprise zone ; [명사] 기업 유치[산업 장려] 지구 [본문으로]
103. better for ; …에게 더 나은. [본문으로]
104. speed up ; 속도를 더 내다[높이다] ;; 동의어 ; speed something up [본문으로]
105. diffusion ; [U] 1. 방산(放散), 발산; 보급, 유포 ((of)) 2. [물리·기상] 확산 (작용) ((of)); [사진] (초점의) 흐림 3. (인류·사회) (문화 등의) 전파, 보급 4. (문체 등의) 산만 [본문으로]
106. business practice ; [명사] 상관습(商慣習), 사업관행 [본문으로]
107. high performing ; 성취도가 높은, 고성능의, 우수한 성과를 올리는 [본문으로]
108. beefed-up ; [형용사] (구어) 증강[강화, 보강]된 [본문으로]
109. competition policy ; (지식경제용어) 경쟁정책 [본문으로]
110. industrial concentration ; (경제) 산업집중도 [본문으로]
111. sap ; [타동사][VN] (-pp-) ~ sth | ~ sb (of sth) 약화시키다, 차츰 무너뜨리다 [본문으로]
112. dynamism ; [U] 활력, 패기 [본문으로]
113. foster ; 1. [타동사][VN] 조성하다, 발전시키다 [본문으로]
114. private investment fund ; A private investment fund is a type of financial investment company which meets either of these criteria: a) it has less than 100 investors, or b) its member investors have substantial funds invested elsewhere. These types of funds are generally exempt from federal securities regulations and laws and are included under the label of "hedge funds". [본문으로]
115. technical university ; 공과대학교, 기술대학교 [본문으로]
116. best practice ; [명사] (다른 회사・조직이 본받을 만한) 모범 경영 [본문으로]
117. factory manager ; 공장장 [본문으로]
118. applied research ; [명사] (실험심리학) 응용 연구 [본문으로]
119. set off ; 3. (일련의 사건·과정을) 유발하다[일으키다] [본문으로]
120. scramble ; 1. DIFFICULT WALK/CLIMB | [sing.] (특히 손을 짚어 가며 힘들게) 기어가기[오르기] 2. PUSH/FIGHT | [sing.] ~ (for sth) (여러 사람이) 서로 밀치기[앞다투기], 쟁탈전을 벌이기 [본문으로]
121. etailer ; [NOUN] An etailer is a person or company that sells products on the Internet. [본문으로]
122. award ; [동사] 수여하다; 수여[지급] 판정을 내리다 [본문으로]
123. in the mould of ; ~을 기반으로 한, ~의 형태를 하고 있는 [본문으로]
124. National Institute of Health ; (사회복지학) 국립보건원 [본문으로]
125. CERN ; Conseil européen pour la recherche nucléaire ((F = European Council for Nuclear Research)) 유럽 원자핵 공동 연구소 [본문으로]
126. public investment ; (사회복지학) 공공투자 [본문으로]
127. aid ; ~ (sb/sth) (in sth/in doing sth) | ~ sb (with sth) (격식) (특히 일이 수월해지도록) 돕다 [본문으로]
128. incentive ; [C , U] ~ (for/to sb/sth) (to do sth) (어떤 행동을 장려하기 위한) 장려[우대]책 [본문으로]
129. mindset ; [명사] (흔히 바꾸기 힘든) 사고방식[태도] [본문으로]
130. progressive ; [명사] [주로 복수로] 진보주의자 [본문으로]
131. alleviate ; [타동사][VN] 완화하다 [본문으로]
132. libertarian ; [명사] 자유의지론자 ;; 미국식 [|lɪbər|teriən] 영국식 [|lɪbə|teəriən] [본문으로]
133. free up ; …을 해방하다, 풀어주다; 해소하다, 확보하다 [본문으로]
134. demography ; [U] (어느 사회의 일정 기간에 걸친) 인구 변동[동태]; (이러한 것을 연구하는) 인구 통계학 ;; 미국식 [dɪ|mɑ:grəfi] 영국식 [dɪ|mɒgrəfi] [본문으로]
135. insufficient ; [형용사] ~ (to do sth) | ~ (for sth) 불충분한 [본문으로]
136. assuage ; [타동사][VN] (격식) (안 좋은 감정을) 누그러뜨리다[달래다] ;; 미국∙영국 [ə|sweɪdƷ] [본문으로]
137. matter ; [동사] [진행형으로는 쓰이지 않음] ~ (to sb) 중요하다; 문제되다 [본문으로]