Capabilities in knowledge-based regional development – towards a dynamic framework

There are only a few studies dealing with capabilities in the knowledge-based regional development and especially in implementation of contemporary innovation policy. Drawing upon the resource-based view, the capability perspective identifies combinations of regional resources and capabilities that generate competitive advantage. In light of theoretical and empirical advancement, this paper introduces a capability framework to reveal the multi-layered and dynamic nature of capabilities in knowledge-based regional development. The paper argues that in the regional context, it is important to consider and analyse (1) the organizational level resource and knowledge base and (2) ways in which the regional networks of organizations, engaged in knowledge-based development activities, exploit and renew regional resources and capabilities. The empirical analysis is based on personal in-depth interviews and document analysis. The findings indicate that studies on knowledge-based regional development should pay more attention to the capabilities of the actors involved in development processes. Innovation policy should be viewed as a means to mobilize, renew, build and acquire new resources and capabilities in a region and should aim to build and stimulate regional network-level capabilities for economic renewal.     

Twenty‐first Century Industrial Policy in a Small Developing Country: The Challenges of Reviving Manufacturing in Rwanda

The Rwandan government — widely lauded for its political commitment to development — has refocused its efforts on reviving growth in the manufacturing sector. This article examines how pressures from different levels — international, regional and domestic — have shaped the evolving political economy of two priority sectors (apparel and cement). To achieve its goals of manufacturing sector growth, the Rwandan government aims to access foreign markets (on preferential terms) and larger regional markets while developing effective state–business relationships with locally based firms. Despite the government's political commitment to reviving its manufacturing sector, its strategy has been both shaped and impeded by shifting pressures at the international level (through Rwanda's recent suspension from the African Growth and Opportunity Act), the regional level (through competition from regional firms) and the domestic level (through over‐reliance on single firms). Within the current industrial policy literature, there is limited reflection on how developing countries are dealing with the multi‐scalar challenges of enacting industrial policy in a much‐changed global trading environment. This article contributes to the industrial policy literature by addressing this lacuna.     

Firm Performance,Innovation Modes and Territorial Embeddedness

This paper seeks to identify different innovation modes and their territorial embeddedness, relating them to firms’ innovative and economic performance. We also analyse the relationship between the different innovation modes and the economic impact of the crisis on firms’ performance. These relationships are tested by regression and latent class models for the Portuguese population of firms, using a sample of 397 firms classified according to technological intensity, size and region. Our results show three different innovation modes: a DUI (Doing, Using and Interacting) mode, an STI (Science, Technology and Innovation) mode and a TEI (Territorial Embeddedness Innovation) mode in which territory plays a key role. These innovative modes are related in different ways to firms’ economic and innovative performance and also have marked distinctions in terms of resilience to the economic crisis. These findings lead to a reflection on regional innovation policy in the European context.     

Smart specialization policies: innovative performance models from European regions

ABSTRACT

This research seeks to identify the factors that best explain the performance of regional innovation in Europe, in the era of smart specialization. Data were collected from the Regional Innovation Scoreboard 2016 and a quantitative methodology was followed using linear regressions as statistical methods. The results allowed us to reach four explanatory models of performance innovation for Innovative Regions Leader, Strong, Moderate and Modest. Some policies have also been suggested as possible regional innovation measures that can help policy makers to clarify and improve the innovation performance of these regions.     

Unemployment and Labour-market Policy in the New Voivodeship System in Poland

The systemic transformation process and the introduction of market mechanisms involved in the labour market have brought about changes in the state and structure of the labour market in Poland. A measurable effect of those changes has been a drop in employment and the appearance of registered unemployment, whose level soon surpassed that of frictional unemployment and became a basic social problem. The situation in the Polish labour market is aggravated by the fact that there are wide regional differences in unemployment that persist despite variations in the level of national unemployment. The administrative reform implemented on 1 January 1999 has introduced a division of the country into 16 new voivodeships in place of the existing 49. The new system of big voivodeships endowed statutorily with a combination of central government and self-government functions was supposed to create conditions for a more effective labour-market policy at the regional scale. The aim of the present article is to analyse changes in the regional differences in unemployment resulting from the transition from the 49- to 16-unit administrative system. The analysis also covers changes in the institutionalization and implementation of labour-market policy at the regional level which followed from the reform.     

Policies of related variety in practice: the case Innovation Session Method

The article describes the foundations of related-variety policies in practice, delineating the roles that related variety and fruitful distances may play in innovation policy. The main focus is on methods of managing related variety. Three types of regional collaboration and renewal processes are identified. By presenting empirical research on the Innovation Session Method developed in the Lahti region of Finland, the article provides insights into the practical implementation of innovation policy based on related variety. This study finds that Innovation Sessions appear to function quite well in the related-variety context, serving as a practical implementation of innovation policy that is in transition. The role of an optimal combination of distances is highlighted. This study contributes to the development of effective methods for innovation policy.     

Policy Agendas in Australian Politics: The Governor-General's Speeches, 1945–2008

The Policy Agendas Project collects and organises data from official documents to trace changes in the policy agenda and outputs of national, sub-national and supranational governments. In this paper we use the policy agendas method to analyse the changing contents of those Australian Governor-General's speeches delivered on behalf of incoming governments between 1945 and 2008. We suggest that these speeches provide an important insight into how the executive wishes to portray its policy agenda as it starts a new term of government. In mapping the changing agenda in this way we address four questions: which issues have risen or fallen in importance? When and in relation to what issues have there been policy ‘punctuations’? How stable is the Australian policy agenda? How fragmented is the policy agenda? We find evidence of a number of policy punctuations and one turning-point: the election of the Whitlam government.     

Federalism and Entrepreneurship: Explaining American and Canadian Innovation in Pollution Prevention and Regulatory Integration

Conventional wisdom provides an increasingly strong endorsement of far-reaching decentralization and delegation of authority to bureaucratic agents as the most likely mechanisms to attain such central environmental policy goals as pollution prevention, cross-media regulatory integration, and development of reliable measures of environmental outcomes. Canada would appear an unusually fertile context for such Innovation, given its far-reaching deference to individual provinces and their environment ministries in environmental policy. Comparative analysis of select sub national governments in Canada and the United States suggests that the states in general are far ahead of their provincial counterparts in most of these areas of innovation. Despite all the opprobrium heaped on the American environmental policy system, a combination of federal policy tools and state policy entrepreneur ship appear to contribute directly to this innovation in some states and are almost completely absent in the Canadian system. These findings suggest a need for careful study of the mix of intergovernmental policy tools and principal-agent relations most likely to realize desired environmental policy goals.     

REGIONAL POLICIES IN DEVELOPED CAPITALIST STATES: THE IMPACT OF POLITICAL FORCES (THE WEST GERMAN EXAMPLE)

Using West Germany as an example, long-term trends contributing to the strengthening of regional socioeconomic inequalities are described. The role played by various factors in this process is analyzed: the relationship between “traditional” and “new” (high-technology) products, between the process and goals of regional policy formation, and between the spatial distribution of class and socio-political [i.e., political party] forces. These issues have clearly expressed political geographic and geoecological aspects (translated by Jay K. Mitchell, PlanEcon, Inc., Washington, DC 20005).     

Local Strategies within a European Policy Framework

This article discusses the Lisbon Agenda from the perspective of entrepreneurship policy. After a brief overview of the events leading up to the development of the Lisbon Agenda, the authors describe the goals and content of this policy framework as well as of the structural funds. Using examples of initiatives towards implementation at the local level, the authors illustrate the necessity to promote entrepreneurship in order to foster economic growth in communities and regions. We assess how the new European growth policy became translated into an action plan realized through structural funds and community initiatives and demonstrate that a greater focus on entrepreneurship policy could strengthen the Lisbon Strategy and aid in the achievement of its goals.     

长江三角洲区域政策强度的定量化及其演变过程——以区域开放开发政策为例

区域政策强度是政府投入影响区域经济格局的政策变量值的大小。区域政策强度的影响因素可分为政策自身内容和政策背景属性两类,前者主要考察政策工具体系,后者则主要考察区域政策的影响范围和政策实施保障能力。在此基础上提出区域政策强度定量化的指标体系,据此定量考察区域政策强度值的时空演变规律与特征。以改革开放以来长江三角洲实施的区域开放开发政策作为实证研究样本,经过区域政策强度的定量化分析发现:区域开放开发政策强度具有能级上的差异,不同类型区域政策的强度值变化特征不同,并在时间上呈阶段性和周期性,在空间上由等级梯度向扁平化转变。     

Performance Goal Achievement in Fiscal Federalism: The Influence of State Partisan Environments and Regulatory Regimes

With tight budgets and hyper‐partisan interactions within and between the states and federal government, attention is being paid to the implementation of federal programs. This is particularly important because, as the recently implemented American Recovery and Reinvestment Act suggests, state administrators are often the implementers of federal policy. This study integrates the fiscal federalism literature with that on implementation and bureaucratic response to examine the effect that within‐state factors have on the degree of performance goal achievement in federally funded, state implemented programs. The findings suggest that, when implementing federal programs, state administrators face conflicting political incentive structures and policy‐specific capacity and capability deficits that influence their motivation and ability to achieve performance goals.     

Regional Policy in Transition - A Multi-level Governance Perspective on the Case of Denmark

Denmark would appear to be a radical, but overlooked, example of the general Western European trend away from national top-down schemes towards a situation where regional policy is a multi-level activity in which European and regional actors are heavily involved. In order to analyse such transformations the article first proposes a conceptual framework capable of accounting for different forms of regional policy and their interaction, and then applies it to the Danish case. The analysis of inter-organizational relations, strategies and resource dependencies show that in Denmark the new paradigm in regional policy resembles a decentralized form of industrial policy in which regionally-based actors play a major role via their organizational and informational resources, but that central government still plays a major role as a regulator of the activities of other actors within a multi-level institutional setting.     

The struggle of dutch transport regions: Life and death of a regional planning concept

In the Netherlands it was commonly believed that a comprehensive regional transport policy was the only way of achieving the objectives of national transport policy. A new institution was created: the transport region. Expectations ran high, but many transport regions never reached the implementation stage. Analysis of the national policy and the actual development of the transport regions shows a continuous struggle between the transport region as a policy concept on the one hand and the transport region as an administrative institution on the other. The anticlimax that resulted from this struggle seems to have been inevitable: the transport regions have officially been abolished. Their role has been taken over by the provinces. On the one hand, this provides opportunities for avoiding the mistakes made in the past. On the other hand, this shift holds threats, which may obstruct the making and implementation of effective regional transport policy.     

Network position and innovation capability in the regional innovation network

ABSTRACT

This paper investigates the positioning of actors characterized by different natures in a regional innovation network and explores how these actors improve their innovation capabilities by assuming prominence or brokering positions. Innovation capability is widely seen to be the driving force in building regional competitive advantage, therefore investigating how the positioning of actors improves their innovation-related activities is relevant in terms of regional competitiveness. This paper builds on a survey conducted on the Sicilian regional area in Italy. A questionnaire was used to collect data concerning the relationships established between actors and the extent to which these relationships impact actors’ innovation capability. Results suggest that regional actors cannot be considered as a homogeneous group regarding their positioning in a regional network and that the innovation benefits of assuming different network positions depend on their nature. This paper offers some theoretical implications to the literature on regional innovation network and practical suggestions to organizations and regional policy makers.     

Combined Innovation Policy: Linking Scientific and Practical Knowledge in Innovation Systems

New research indicates that firms combining the science-based STI (Science, Technology, Innovation) and the experience-based DUI (Doing, Using, Interacting) modes of innovation are more efficient when it comes to improving innovation capacity and competitiveness. With regard to innovation policy, the STI mode calls for a supply-driven policy, typically aimed to commercialize research results. The DUI mode suggests a demand-driven policy approach, such as supporting the development of new products or services to specific markets. This article analyses how the two types of innovation policies and the two innovation modes can be combined in regional innovation systems (RISs). The analysis builds on studies of the food industry and related knowledge organizations in two counties, Rogaland County (Norway) and Skåne County (Sweden), and two policy initiatives (NCE Culinology and Skåne Food Innovation Network) aimed at strengthening the innovative capability of the RISs. The analysis indicates that policies aimed to link science- and user-driven innovation activity should focus on building absorptive capacity of DUI firms (e.g. through increased scientific competence) and implementation capacity of STI firms (e.g. through increased market and process competence).     

The rise of the Indo-Pacific: understanding ideational change and continuity in India's foreign policy

In 2011, the concept of the Indo-Pacific began to appear in India's foreign policy discourse. This article argues that rather than signalling a dramatic shift in India's foreign policy, however, the way in which the Indo-Pacific has been interpreted by the Indian leadership suggests significant continuity as well as change, which is contrary to the goals of the concept's most fervent proponents in India. The article seeks to develop a framework for understanding ideational change and continuity in foreign policy by theorising the interplay between ideas, political and economic flux, and social expectations related to effective and legitimate state-building. It is argued that the Indo-Pacific concept has instigated a new emphasis on regional architecture-building to manage the ongoing regionalisation in the area between the Indian and Pacific Oceans as a result of heightened trade flows and production and investment linkages. Yet, the Indo-Pacific concept, like the new policy ideas on regional engagement that preceded it—the Look East policy and the ‘extended neighbourhood’—has been articulated in ways that are also compatible with long-standing ideas—such as non-alignment—about what constitutes appropriate international behaviour. This reflects the nature of the broader state project that has emerged since 1990, which, while encompassing a new focus on economic growth and competitiveness as being essential to effective state-building, continues to prioritise older ideas about what constitutes effective and legitimate state-building.     

When regional innovation policies meet policy rationales and evidence: a plea for policy analysis

In spite of recent advancements regarding regional innovation policy rationales and evidence, there are few analyses about the actual features of existing regional innovation policies. Nevertheless, a policy analysis perspective is important in order to recognize their distinctive patterns across regions, and to understand how rationales and evidence can be translated into policy-making. To this purpose, this paper develops a framework to study the extent to which regional innovation policies have changed during the past few years. Since the mid-2000s, there has been an important development of innovation policy rationales, advocating for more specialization; likewise, greater data availability at the regional level has allowed more sophisticated assessment of innovation performance. Finally, the crisis since 2008 has had ravaging effects in some regions, with job losses and severe economic sluggishness. Therefore, it is reasonable to expect transforming dynamics in regional innovation policies. Against this backdrop, the paper compares the institutional frameworks and budgetary priorities of four Spanish regions during the period 2001–2014: Catalonia, the Basque Country, Galicia and Andalusia. In so doing, it aims at studying the extent to which regional governments have readily addressed past and new challenges related to their regional innovation system, and if so, how.     

What “Is” Territorial Cohesion? What Does It “Do”?: Essentialist Versus Pragmatic Approaches to Using Concepts

The question, “what is territorial cohesion” has reverberated through European spatial policy since the publication of the European Spatial Development Perspective in 1999. Over the last 10 years, the European Spatial Policy Observation Network (ESPON) has made many efforts to define and measure the concept of “territorial cohesion”. Many such attempts assume that a policy concept must be defined in order to be “operationalized”. Or, in other words, that we must determine what the concept is before we can determine what it can or should do. This paper challenges this assumption in two parts. In the first, I review a number of ESPON projects to show how complex and uncertain these essentialist definitions have become. In the second, I analyse a number of national, regional and local government responses to the 2008 Green paper. I show that, whilst a clear and coherent definition has not been established, this concept is already operationalized in different policy frameworks. Bringing this together, I argue that users of such concepts ought to approach the issue differently, through a pragmatic line of enquiry: one that asks what territorial cohesion does, what it might do and how it might affect what other concepts, practices and materials do.     

An economic analysis of a National Theatre: The case of the ‘Abbey’

Abstract: This article asks how a regional community is culturally constructed as a policy subject in the centre/periphery relation of Finnish cultural policy. The focus is on the options the cultural recognitions analysed from the cultural policy documents of central government and the provincial administration of North Karelia provide for different political interests. It is stated here that the democratisation of cultural policy can be open for and a vehicle of the interests the prevailing spatial dominance attempts to get within the population of peripheries. North Karelia has for centuries been a geographic and economic periphery without inner cultural distinctions. Yet it is regarded as a culturally rich and specific area. The analysis shows that the regional community has continuously been used as a partisan identity for maintaining and reinforcing the spatial integration of national projects. Public cultural image would provide a symbolic compensation for the economically underprivileged. Furthermore, the strong cultural identity of North Karelia has constantly been taken by the regional establishment as an instrument to fight the “opponents of common regional interests” in political conflicts. Thus the principles of democracy have not always meant the capability or attitude to notice cultural polyphony within the region abreast of cultural political decision-making.