A comparison of the economic performance of different micro-states, and between micro-states and larger countries

The economic performance of micro-states and those sub-national regions enjoying a high degree of autonomy is a generally under-researched area. This paper builds on earlier research (Armstrong and Read, 1995) by employing quantitative techniques to test: (a) the extent to which the economic performance of micro-slates differs, by comparing their GNP per capita with that of the region in which they are located and with the countries to which they are adjacent; (b) whether some micro-states perform better than others as a result of differences in their economic structure; and (c) whether the rates of growth of micro-stares have been faster or slower than those of larger countries. Considerable diversity among micro-states is revealed, although most exhibit strong economic performance. (C) 1998 Elsevier Science Ltd. All rights reserved.