Regional development becomes an important issue in both developed and developing societies as regional inequality evolves with time. Few analyses have been done on regional inequalities of the former Soviet countries such as Ukraine. This lack of research can be explained by the socialist regional policy of equality that was dominant during the Soviet era. During transition to the market economy inequality has increased entailing negative processes in the society. A broad goal of this study is to improve understanding of regional development processes in countries that are in transition from...