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These results are hardly surprising, and are no different from previous decades. They are the result of over-centralisation and micro-management from afar.
How do you change it when all Government and all private company headquarters have been established in one remote city in the far south-east? You use new communication technologies to de-centralise Government to be based in all the major cities, give those cities power and resources to make their own economic decisions, and ensure that the trend for any new economic development to locate in the south east is blocked.