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Comments on the popularity of restructuring in the regional economics in Europe and Asia. Relevance of economic geography in understanding the concept and process of restructuring; Pros and cons of restructuring; Definition of functional lock-in; Reason behind the popularity of restructuring in Asia.

This article proposes an empirical investigation of regional trade flows following a cross-section method. For this purpose, the author refers to a regional context looking at a chosen sample of European regions. She mainly intends to assess the role of the home market effect and the level of transport costs in driving regional export flows. In particular, she is interested in testing the importance of spatial components in regional trade analysis. By simply adapting the gravity model approach to her framework, she is able to prove that physical distance smooths the intensity of trading flows while local transport facilities as well as local demand foster them. [ABSTRACT FROM AUTHOR]