Title: Place-based policies and capital structure in the South of Italy

Authors: Mauro Aliano; Greta Cestari; Salvatore Madonna

Addresses: Department of Economics and Management, University of Ferrara, Via Voltapaletto, 11, 44121 Ferrara FE, Italy ' Department of Economics and Management, University of Ferrara, Via Voltapaletto, 11, 44121 Ferrara FE, Italy ' Department of Economics and Management, University of Ferrara, Via Voltapaletto, 11, 44121 Ferrara FE, Italy

Abstract: Productivity gaps between northern and southern Italian regions have been widening over recent years. In this paper, we provide some evidence-based suggestions to support and boost the Italian Government's measures for reducing regional disparities, such as the special economic zone and other place-based fiscal measures to stimulate private investments. We found asymmetrical effects of using equity to increase tangible investment according to company size, and an inverted U-shape pattern for the impact of loans. We argue that the tax rules and benefits of SEZs and other measures should be coupled with a deeper knowledge of companies' capital structure peculiarities.

Keywords: capital structure; regional divide; special economic zones; SEZs; equity ownership; place-based policies.

DOI: 10.1504/GBER.2026.150337

Global Business and Economics Review, 2026 Vol.34 No.1, pp.30 - 58

Received: 07 Jun 2023
Accepted: 25 Sep 2023
Published online: 10 Dec 2025 *

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