BORDER REGION DEVELOPMENT AND REGIONAL INEQUALITY: A SYSTEMATIC LITERATURE REVIEW OF ECONOMIC DYNAMICS AND DEVELOPMENT STRATEGIES

Abstract

Border regions occupy a strategic position in regional development, yet many continue to experience economic marginalization, limited market accessibility, infrastructure gaps, and persistent regional inequality. This study examines the relationship between border region development and regional inequality by synthesizing the economic dynamics, development determinants, and strategies identified in the existing literature. A library research approach employing an integrative literature review was applied to relevant scholarly publications, particularly Scopus-indexed studies. The literature was analyzed using thematic content analysis focusing on border connectivity, infrastructure, cross-border trade, market accessibility, economic integration, local economic transformation, productivity, inclusive growth, governance, and regional convergence. The findings demonstrate that connectivity and cross-border economic integration can stimulate economic activity by reducing transaction costs, expanding market access, and facilitating trade and investment. However, these benefits do not automatically reduce regional inequality because economic gains may remain concentrated around border crossings and major economic corridors. Effective border development therefore requires place-based strategies that integrate infrastructure, local productive capacity, institutional quality, and inclusive economic participation. Based on the synthesis, this study proposes a conceptual pathway: Border Connectivity → Cross-Border Economic Integration → Local Economic Transformation → Productivity and Inclusive Growth → Regional Convergence. This framework provides a foundation for understanding how border development can contribute to more balanced and inclusive regional development.