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Border area development is neither an original nor a brand new idea of the author. It has long been discussed in a variety of words including border industries, growth triangles, growth areas and economic corridors. The Greater Mekong Subregion (GMS) Economic Cooperation revitalized the border area development as a new development strategy for less developed countries such as Cambodia, Lao PDR and Myanmar. This paper examines the location advantages of border areas, in particular of those between less developed regions and more developed ones. They include complementary factor endowment, cross-border infrastructure services and the degree of economic integration and border barriers.
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