Funding gradient
The catchphrase describes the negative, mostly economic effects when, for reasons of structural policy, European or state subsidies are granted in adjoining areas at different levels of subsidy, mostly according to the so-called watering can principle . In this case, the investments turn away from the less subsidized area and towards the higher subsidized area.
This is especially the case if the infrastructure is comparable and in the higher subsidized area there are additional factors such as lower wage costs with approximately the same or even higher qualifications. A good example is the former West German border area along the inner-German border , which was heavily subsidized for many years until German unification through zone border promotion . This subsidy, which was intended to compensate for the disadvantages of the location , did not necessarily increase the competitiveness of the companies located there . Funding was withdrawn from them with German reunification, but on the other hand they had to assert themselves in competition with companies in the immediate vicinity that were highly funded by the construction of the East . The funding gap is mainly a problem for small and medium-sized enterprises ( SMEs ), especially the skilled trades , which have a higher level of locality than large-scale industry .
Another funding gap exists on the eastern border to Poland and the Czech Republic or between Berlin and the surrounding area , such as the Ludwigsfelde community in Brandenburg .
