This is a relatively new pattern: that broad parts of the country are falling further behind, as other places grow more prosperous. Economists have only recently paid more attention to what they call spatial inequality, or the widening economic gaps between places. Federal grant programs often require local matching dollars — money the poorest communities don’t have. Some health programs devote extra resources to rural communities, but misclassify which ones are “rural.” The federal government incentivizes banks to invest in struggling neighborhoods. But they’re not going to be making a lot of money off these projects with the current tools we have in place.”

Source: New York Times February 08, 2021 10:00 UTC