{"id":13350,"date":"2026-05-25T13:45:28","date_gmt":"2026-05-25T11:45:28","guid":{"rendered":"https:\/\/insights.ieseg.fr\/?p=13350"},"modified":"2026-05-25T13:45:29","modified_gmt":"2026-05-25T11:45:29","slug":"expansion-higher-education-regional-inequalities-lessons-italy","status":"publish","type":"post","link":"https:\/\/insights.ieseg.fr\/en\/resource-center\/economics-finance\/expansion-higher-education-regional-inequalities-lessons-italy\/","title":{"rendered":"Has the expansion of higher education created regional inequalities? Lessons from Italy \u2026"},"content":{"rendered":"\n

Article by Professor Simone MORICONI<\/a><\/strong><\/p>\n\n\n\n

Over the past century, education policy in Europe<\/a>, particularly in countries such as Italy and France, has increasingly focused on widening access to higher education (HE). This democratization led to a sharp rise in university admissions and has prompted a rapid expansion of faculties<\/a>, particularly in a number of urban centers such Rome or Milan in Italy, Paris or Lyon in France.<\/p>\n\n\n\n

Lack of historical data<\/h2>\n\n\n\n

While similar developments occurred across Europe, the lack of historical data has long limited researchers\u2019 ability to rigorously assess the long-term economic effects of university expansion on local development.<\/p>\n\n\n\n

Yet, in this expansion process, my latest *research with colleagues Elena Cottini and Paolo Ghinetti  has shown that regions in Italy may find themselves in a dynamic akin to the classic \u201bKeeping up with the Joneses\u2019<\/a> phenomenon. This term originally derived from the comic strip by Momand refers to our propensity to compare oneself to the neighbors.<\/p>\n\n\n\n

Using this metaphor, rich regions with established universities play the role of the wealthier family, the Joneses, while poorer or less developed areas resemble the struggling McGinis family, striving to match their neighbors\u2019 educational and economic opportunities.<\/p>\n\n\n\n

The expansion of higher education has undoubtedly generated numerous positive economic effects: for example in terms of skills development, production, creation of new companies, and attracting both public and private investment. However, our research has also shown that it may also create competitive pressures that worsen disparities, as underprivileged regions compete for limited resources such as students, faculty, and investment.<\/p>\n\n\n\n

Novel methodology to construct historical registers<\/h2>\n\n\n\n

Starting in Italy, we have developed a novel methodology to construct historical registers of universities and individual faculties from the High Middle Ages. This approach enabled us to create a large dataset tracking the number and type of faculties\u2014distinguishing between STEM (science, technology, engineering and maths) and non-STEM fields\u2014across municipalities and provinces. Using this dataset, we have assessed how the presence of universities impacts a province\u2019s economy.<\/p>\n\n\n\n

The results show that universities generate significant positive local economic effects. Italian provinces with an average number of tertiary education institutions (approximately seven faculties) experienced 2% higher annual levels of economic output per capita (real gross value added per person) than provinces without universities. This effect is even more pronounced when STEM faculties are involved.<\/p>\n\n\n\n

Economic benefits far from evenly spread<\/h2>\n\n\n\n

However, the economic benefits of universities are far from evenly spread. Nearly two thirds of the total gains remain in the province where the HE institutions are located, while only about one third spills over to neighboring areas. This strong local concentration reflects how higher education is organized. Each province has generally planned its university system to meet its own specific needs \u2014 deciding how many students to train and in which fields \u2014 with little focus on the wider regional impact. As a result, neighboring provinces do not gain much, and may even lose out, as students and other resources are drawn toward areas with stronger university networks.<\/p>\n\n\n\n

The two graphs below highlight this trend via the predicted returns from higher education expressed in % of local real Gross Value Added of each province at 2010 levels.<\/p>\n\n\n\n

In the first graph (left), the lightest colors show the provinces where economic returns are either negligible (less than 1% of local GVA per capita – transparent grey) or small (between 1% and 2% – light grey). These tend to be provinces without universities or those that benefit from the impact of universities in neighboring areas.<\/p>\n\n\n\n

By contrast the darker grey highlights provinces such as Milano and Roma that benefit directly from local university hubs (GVA of 3%- 5% of local GVA per capita). <\/p>\n\n\n\n

The second graph (right) highlights the geographical distribution of the net annual gains that HE institutions create in neighboring provinces (we call them externalities), also in % terms of GVA per capita.<\/p>\n\n\n\n

Overall, we can see that these externalities are relatively small across Italy. In most border provinces (particularly in the northeast), they account for less than 1% of local GVA per capita (transparent grey). By comparison, provinces located near to urban areas, account for 1% and 2% of local GVA per capita (light grey areas).<\/p>\n\n\n\n

Figure 1: Geographical distribution of annual returns of higher education institutions in terms of GVA per capita (2010 value levels).<\/h2>\n\n\n\n
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Notes: values are expressed in % of local real income per capita at province level (gross terms). All values refer to 2010. Information on income is not available for provinces of Barletta, Carbonia-Iglesias, Fermo, Monza-Brianza, Medio-Campidano and Ogliastra.<\/h5>\n\n\n\n

This geographical concentration of benefits therefore seems to contribute to the widening of territorial inequalities in Italy. Is France experiencing a similar phenomenon?<\/p>\n\n\n\n

Can the results be applied to other countries?<\/h2>\n\n\n\n

One obvious question arising from this analysis is the extent to which the Italian results can be applied to other European countries. Providing a definitive answer to this question is quite challenging.<\/p>\n\n\n\n

While a number of HE systems share a common historical foundation with the Italian  system, the development of modern university systems has followed increasingly country-specific trajectories, leading to the significant differences between countries today.<\/p>\n\n\n\n

Therefore, we are looking to apply a similar methodology to create registries of university data for other European countries. Together with my PhD student Mikael Pasternak (University of Lille) I have recently collected data for France and data enables us to start to make some comparisons with Italy.<\/p>\n\n\n\n

It’s worth noting that while France may have experienced some similar historical developments in terms HE expansion, overall it has more faculties and a greater focus on STEM subjects than Italy.<\/p>\n\n\n\n

The level of expansion of institutions in France compared to Italy, together with its skewedness towards the more productive STEM faculties suggests that territorial inequalities may arise in France too because of local territorial competition.<\/p>\n\n\n\n

We can take the example of the Haute-Garonne department (31), a major academic hub centred around Toulouse, which hosts a dense network of universities and engineering schools (68 faculties, of which 30 are STEM). Such a concentration of higher education is likely to reinforce the economic advantage of Haute-Garonne relative to neighboring departments such as Ari\u00e8ge (09) or Hautes Pyrenees (65), where the presence of higher education remains scant. This uneven distribution in higher education supply seems to carry over to persistent disparities in economic performance, with annual per capita GDP in Haute-Garonne being significantly higher than in Ari\u00e8ge or Hautes Pyrenees (43,000 euros vs. 23,000 euros and 26,000 euros respectively).<\/p>\n\n\n\n

Perspectives for policymakers<\/h2>\n\n\n\n

From a policy perspective, our research underscores the need to better align higher education supply with regional development strategies, ensuring that university expansion does not unintentionally deepen territorial inequalities.<\/p>\n\n\n\n

Higher education expansion policies, while successful in increasing human capital and overall economic output, need to be more explicitly integrated with regional development strategies. Since the economic benefits of universities are highly localized\u2014with up to two-thirds of gains remaining within the host province\u2014policymakers should consider mechanisms to enhance inter-regional spillovers. This could include incentivizing collaboration between universities and firms in neighboring regions, investing in transport and digital infrastructure to improve accessibility, and fostering inter-university networks that distribute knowledge more evenly beyond major academic hubs.<\/p>\n\n\n\n

Moreover, the evidence that universities can intensify competition for students, faculty, and investment implies that simply increasing the number of institutions in disadvantaged areas may not be sufficient. Targeted support is needed to ensure that newer or peripheral universities can compete effectively with established centers.<\/p>\n\n\n\n

Policies could include differentiated funding formulas, strategic specialization (e.g., focusing on niche or locally relevant fields), and stronger links with local industries to anchor talent and economic activity. Without such measures, expansion risks reinforcing a \u201ccore-periphery\u201d dynamic rather than reducing it.<\/p>\n\n\n\n

Finally, the evidence of stronger economic returns associated with STEM faculties highlight the importance of the composition\u2014not just the presence\u2014of higher education supply. Policymakers should carefully consider the allocation of academic disciplines across regions, ensuring that less-developed areas are not systematically limited to lower-return fields. Aligning educational offerings with local economic structures and future growth sectors could help maximize regional benefits. Overall, a more coordinated, place-based approach to higher education policy is necessary to prevent the unintended widening of territorial inequalities observed in both Italy and, potentially, France.<\/p>\n\n\n\n

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*Find out more in their study:<\/p>\n

Keeping up with the Joneses? The rise of modern universities and local economic development in Italy<\/a>. J Econ Growth<\/em> (2026). Cottini, E. (Universit\u00e0 Cattolica del Sacro Cuore), Ghinetti, P. (Universit\u00e0 del Piemonte Orientale) & Moriconi, S. (IESEG School of Management, Univ. Lille, CNRS, UMR 9221 – LEM – Lille Economie Management).<\/p>\n<\/div>\r\n<\/div>\n\n\n

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Image at top of the article: Istock (mattjeacock)<\/p>\n","protected":false},"excerpt":{"rendered":"

The number of adults completing higher education in Europe has risen rapidly over the last century. By 2023, the number of tertiary education students in the EU had reached 18.8 million. Simone MORICONI, professor and Director of I\u00c9SEG\u2019s Research Center on Family, Labor and Migration Economics, has been studying the economic consequences higher education expansion, notably in terms of local and regional economic development in Italy. <\/p>\n","protected":false},"author":3,"featured_media":13533,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[484,492],"tags":[787,334,315,358],"article-type":[12],"acf":[],"yoast_head":"\nHas higher education expansion created regional inequalities?<\/title>\n<meta name=\"description\" content=\"Simone MORICONI has been studying the economic consequences higher education expansion, notably in terms of local & regional economic development in Italy.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/insights.ieseg.fr\/en\/resource-center\/economics-finance\/expansion-higher-education-regional-inequalities-lessons-italy\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Has higher education expansion created regional inequalities?\" \/>\n<meta property=\"og:description\" content=\"Simone MORICONI has been studying the economic consequences higher education expansion, notably in terms of local & regional economic development in Italy.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/insights.ieseg.fr\/en\/resource-center\/economics-finance\/expansion-higher-education-regional-inequalities-lessons-italy\/\" \/>\n<meta property=\"og:site_name\" content=\"I\u00c9SEG Insights\" \/>\n<meta property=\"article:published_time\" content=\"2026-05-25T11:45:28+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2026-05-25T11:45:29+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/insights.ieseg.fr\/wp-content\/uploads\/2026\/05\/iStock-172670590-scaled.webp\" \/>\n\t<meta property=\"og:image:width\" content=\"1920\" \/>\n\t<meta property=\"og:image:height\" content=\"1285\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Andrew MILLER\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Andrew MILLER\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"8 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\/\/insights.ieseg.fr\/en\/resource-center\/economics-finance\/expansion-higher-education-regional-inequalities-lessons-italy\/\",\"url\":\"https:\/\/insights.ieseg.fr\/en\/resource-center\/economics-finance\/expansion-higher-education-regional-inequalities-lessons-italy\/\",\"name\":\"Has higher education expansion created regional inequalities?\",\"isPartOf\":{\"@id\":\"https:\/\/insights.ieseg.fr\/#website\"},\"datePublished\":\"2026-05-25T11:45:28+00:00\",\"dateModified\":\"2026-05-25T11:45:29+00:00\",\"author\":{\"@id\":\"https:\/\/insights.ieseg.fr\/#\/schema\/person\/3d9d5305d4471a7c4bf3fa7bda0d004f\"},\"description\":\"Simone MORICONI has been studying the economic consequences higher education expansion, notably in terms of local & regional economic development in Italy.\",\"breadcrumb\":{\"@id\":\"https:\/\/insights.ieseg.fr\/en\/resource-center\/economics-finance\/expansion-higher-education-regional-inequalities-lessons-italy\/#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/insights.ieseg.fr\/en\/resource-center\/economics-finance\/expansion-higher-education-regional-inequalities-lessons-italy\/\"]}]},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/insights.ieseg.fr\/en\/resource-center\/economics-finance\/expansion-higher-education-regional-inequalities-lessons-italy\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"I\u00c9SEG Insights\",\"item\":\"https:\/\/insights.ieseg.fr\/en\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Economics & Finance\",\"item\":\"https:\/\/insights.ieseg.fr\/en\/resource-center\/economics-finance\/\"},{\"@type\":\"ListItem\",\"position\":3,\"name\":\"Has the expansion of higher education created regional inequalities? 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