Neoliberalism and Suburban Employment: Western Sydney in the 1990s

During the past 15 years metropolitan planning strategies of the NSW state government have done little to address the spatial distribution of either employment or labour market equity within the metropolis. In the fast‐growing outer western suburbs, the government has focused on attracting business investment to increase the stock of local jobs and to improve employment ‘self‐sufficiency’— a dominantly neoliberal policy framework. This paper explores a widening gulf between the reality of outer urban change and this policy framework by considering changes in the location of jobs and in the employment experiences of residents in Greater Western Sydney (GWS). Evidence is drawn from census journey‐to‐work data (1991–2001). While holding a majority of manufacturing jobs in Sydney, GWS also experienced continued growth of jobs in service industries during the 1990s. Yet the relative importance of employment in the city's fast‐growth finance and business services sector still lags well behind that of inner and northern parts of the city. The focus on growing the regional stock of jobs has not addressed problems of labour market access faced by residents of particular localities and the goal of employment self‐sufficiency has not delivered greater equity to outer suburban labour markets. A focus on sufficiency of access to employment for residents of GWS draws attention not only to regional stocks of jobs but also to the provision of social infrastructure and state‐provided services to outer suburban populations as they continue to expand.     

Microcredit and Women's Empowerment: Through the Lens of Time‐Use Data from Rural India

This study examines the impact of microcredit on male and female time use, and draws on this analysis to explore the linkages between credit and women's empowerment. A study of time use can help understand these linkages, because if credit is intended to improve women's livelihoods, it can also be expected to influence the way women allocate their time. Its other advantages are that it does not suffer from much time lag and can be objectively measured. Using household survey data from rural India, the findings show that while microcredit has little impact on women's time use, it helps their husbands move away from wage work (associated with bad pay and low status) to self‐employment. This is because women's loans are typically used to enhance male ownership of the household's productive assets. Further, it is found that it is only women who use loans in self‐managed enterprises who are able to allocate more time to self‐employment. If credit is intended to increase the value of women's work time, it follows that it is not access to loans but use of loans that matters. Ensuring women's control over loan‐created assets must therefore be a critical policy objective.     

A THEORETICAL FRAMEWORK FOR SMALL BUSINESS POLICY

A number of public policy issues have been discussed in this article, the most important of which are: 1. Small business would not need special consideration if our economy were basically a competitive one. 2. A large and growing segment of our economy has sufficient market and political power to make our economy basically non-competitive. 3. Small firms tend to provide price competition, to lead in the development of new products and processes, and to generate new innovations and new employment. 4. Government policy tends to create artificial economies of scale, giving an unwarranted advantage to the very large firm. As a first approximation, a policy of government neutrality on firms of varying size is needed. But, because of discriminations which already exist which favor large firms over small firms, special small business programs may be necessary to provide an equitable policy base. Unfortunately, programs designed to benefit all business, like the investment tax credit, tend to primarily benefit larger firms (Berney, 1979). This is the case for two reasons. First, there is a basic difference in production relationships: large firms tend to be more capital intensive and small firms more labor intensive. Second, the more complex a rule or regulation, the more costly it is for small business to use it. Consequently, even the employment tax credit, which should benefit the small firm is not used by them. Instead, it tends more to benefit the larger firm. Neutrality, as a governmental policy, would appear to demand different treatment for firms of varying size. As an example, the “regulatory flexibility” concept applies different standards to different sized firms so that the burden of regulation is more equitably distributed. The concept of encouraging or requiring financial institutions and other lenders to establish “dual prime rates” is a further example. Since small firms appear to have much higher debt to equity ratios and rely more heavily on shorter-term bank credit, they are more heavily burdened by a tight money policy which forces increases of interest rates. Thus, dual prime rates help to spread the burden of rising interest costs more equally. As many people prefer to work for themselves, equalizing the burden of government policy could only serve to increase the basic growth rate for small business, thus providing an easier start for entrepreneurs and would encourage a more rapid rate of economic growth. None of these discussions, however, argues that small business should be protected from failure. The more efficient firms will succeed and prosper, and the least efficient will not. Many currently successful entrepreneurs learn how to improve their production processes or managerial skills from their failures. What is being recommended as a first step is that government should concentrate on equalizing burdens and benefits in order to achieve true neutrality. If private economies of scale do indeed exist, new firms must grow to survive; what the government should not create are artificial economies of scale with public policy. A strong argument for further action can also be made: it appears that significant external benefits are produced by an economic system with a dynamic small business sector. Since these benefits go to society as a whole rather than entrepreneurs alone in the form of increased profits, a freely operating market without government assistance does not generate as many new small businesses as would be optimal for our society. To internalize the benefits that come from small business, governmental programs need to be devised to increase the rate of return on new, innovative small businesses. Should this happen, we could then anticipate increased rapid rates of innovation and technological change, more rapid rates of employment growth, expanded price competition in all sectors of the economy, and improved export capabilities, in short, true flexibility in our capitalistic system.     

Expected job creation across the cultural industries: a sectoral division and its implications for cultural policy

The cultural industries have come to the forefront as the potential job creators of the future. However, building on the concentric circles model and production system view of the cultural industries, we pose that many young and small organizations in the industries lack the motivation, ability, and opportunity to become job creator. We reason that industry location crucially affects job creation expectations. Evidence from an international sample of early-stage entrepreneurs strongly supports this thesis. We identify a divide between entrepreneurs in the ‘core’ cultural industries vis-à-vis those in the ‘non-core’ cultural industries, where the latter group is indistinguishable from entrepreneurs in non-cultural industries in their job creation expectations. Simultaneously, those in the core cultural industries are distinct from others in their expectations to maintain the same number of jobs, rather than grow. These findings have important implications for cultural policy aimed at promoting employment growth in the cultural industries.     

Une histoire de résidus : à propos des facteurs généraux et locaux de croissance régionale au Canada,de 1971 à 2001

Starting from an econometric model of local employment growth, applied to Canada (1971–2001), residuals—relative to model predictions—are analyzed over time and over space, in turn allowing us to draw a distinction between general explanatory variables and factors of a more local, cyclical or accidental nature. The model's explanatory power grows over time, founded on variables such as urban size, market access and industrial structure, allowing us to conclude that local employment growth in Canada follows an increasingly geographically predictable pattern. However, an examination of the residuals reveals more localized processes. Growth volatility is most manifest in Alberta and British Columbia, home to the most erratic local economies. Emerging patterns are visible in the last period, most notably the underperformance of Northern Ontario and of non‐metropolitan communities between Windsor and Québec City, lying along the Great Lakes and the Saint Lawrence. The over‐performance—compared to model predictions — of small and mid‐sized towns in south‐eastern Québec can, on the other hand, be interpreted as a sign of truly local social processes, generally associated with a particularly dynamic local entrepreneurial class.     

Talking class,talking race: language,class, and race in the call center industry in South Africa

Against a backdrop of declining manufacturing employment, this article uses a study of the call center industry to argue that English language proficiency is central to new service jobs in post-apartheid South Africa. Drawing on research in Durban, we in this study show that access to call center work—especially the highest paid niches—is heavily mediated by English language skills generally attainable only at the most elite high schools. In doing so, we argue that access to English-medium education can challenge racial disadvantage, but simultaneously that English can help to consolidate white privilege through the continued association of a ‘prestigious’ accent with whiteness. The study accordingly reveals the importance of language in the changing intersectionality of race and class and, in doing so, underlines the value of social and cultural perspectives in labor geography.     

Spatial Mismatch and the Structure of American Metropolitan Areas, 1970–2000

Abstract.  This paper analyzes the impact of employment and population shifts in U.S. metropolitan areas from 1970 to 2000 on a spatial mismatch index to determine how metropolitan residents reacted to changes in metropolitan employment distributions. In particular, it seeks to determine whether suburban employment growth created new areas to which access is valued or whether it repelled metropolitan residents and sparked population growth in more distant suburban locations. The results show that residents tended to move away from areas gaining jobs. Black residents, on the other hand, appeared to be attracted to areas that are experiencing employment growth.     

ENTREPRENEURSHIP,INFORMATION, AND GROWTH

We examine the contribution to economic growth of entrepreneurial marketplace information within a regional endogenous growth framework. Entrepreneurs are posited to provide an input to economic growth through the information revealed by their successes and failures. We empirically identify this information source with the regional variation in establishment births and deaths. To account for the potential endogeneity caused by forward‐looking entrepreneurs, we utilize instruments based on historic mining activity. We find that the information spillover component of local establishment birth and death rates have significant positive effects on subsequent entrepreneurship and employment growth for U.S. counties and metropolitan areas.     

SMALL BUSINESS VIABILITY IN THE URBAN GHETTO*

ABSTRACT Within the minority communities of large SMSAs, neither the black-owned business nor the small nonminority enterprises are flourishing. Facing limited access to financial capital as well as constrained markets, the ghetto firms that do persist are typically quite small in terms of sales and employment. Among black establishments, the least educated entrepreneurs are the ones who are most likely to remain in business. Unless greater financial capital is forthcoming and better educated owners are induced to remain in business, the business community that is located in minority neighborhoods of large urban areas may be destined to stagnate.     

Local employment growth patterns and the Great Recession: The case of Spain

The 2008 financial and economic crisis has led to widespread destruction of employment in Spain. Using municipality data, I examine employment growth differences between urban cores, urban hinterlands, and rural areas during the pre‐crisis period and the recession period. The data show that patterns of growth and decline have been very uneven across different types of areas. While in the boom years, hinterlands and rural areas experienced higher growth, urban core areas have done better during the recession years. I then test three strands of explanations for local growth differences: (i) the role of the local sectoral composition, (ii) the role of human capital, and (iii) the role of access to urban core areas. Estimations for employment growth in the two periods show that the crisis has altered some of the drivers of local employment growth and that human capital has been a key determinant of local resilience during the Great Recession.     

The cultural practices of Europeans

Abstract: In recent years, there has been a rapid rise in “atypical”, precarious forms of employment in all European Union states, and the political significance of the issue of “employment in the cultural sector” has increased noticeably. There are several reasons for this. One is the change from a post-industrial economy to a cultural economy and a forced process of economisation of societal welfare-state fields such as health, education and culture. The “marketisation” of culture and the “culturalisation” of the market means that on the one hand “high” culture is becoming increasingly commercial and, on the other, cultural content is increasingly shaping commodity production. These processes run concurrently and are part of a general trend in post-modern society.

The article follows the thesis of a recently published EU study on job potential in the cultural sector [MKW Wirtschaftsforschung GmbH / Österreichische Kulturdokumentation. Internationales Archiv für Kulturanalysen et al., (2001). Exploitation and development of the job potential in the cultural sector in the age of digitalisation (Brussels: European Commission DG Employment and Social Affairs) (summary: http://www.kulturdokumentation.org/eversion/rec_proj/potential.html)] which identifies a new type of employer and/or employee—the “entrepreneurial individual” or “entrepreneurial cultural worker”—who no longer fits into previously typical patterns of full-time professions of the European welfare state system.

The former “cultural worker” has been transitioning into a “cultural entrepreneur” or—as others put it—into a “sole service supplier in the professional cultural field”. According to the historian Heinz Bude's argument, western European societies find themselves in a process of “transformation into flexible, digital capitalism, away from the Keynesian welfare state to a Schumpeterian performance state and a ‘variable geometry of individual incentives’”. What is developing here is the guiding concept of the “entrepreneurial individual”, i.e. individuals who do not follow prescribed standards but who (have to) try out their own combinations and assert themselves on the market and in society. In this context, the creative cultural sector is of broader interest for new labour market concepts and strategies. In addition to the general change, new technology is leading to the emergence of new job profiles in the creative cultural sector so that the image of artists and creators is changing fundamentally. The new creative workforce is meant to be young, multiskilled, flexible, psychologically resilient, independent, single and unattached to a particular location. The article stresses the argument that these new realities of work and labour have to be recognised more extensively in up-to-date labour market strategies and cultural policy concepts. Western societies have to learn to cope better with these new general working and living conditions which affect a continuously increasing number of cultural workers/entrepreneurs—people who have to make their living from micro-entrepreneurialism. The article argues that cultural and employment policies should find innovative ways to accommodate the ambivalent efforts and needs of cultural workers/entrepreneurs (without capital). In conclusion, it will point out that the knowledge-based society has also given birth to historically new forms of employment not yet represented in the traditional canon of the political representation system (political parties, interest groups, etc.). Cultural policy-makers should take this into account in thinking about adequate social security schemes for their clientele, and labour policy-makers should be more aware of the major employment potential of the cultural sector on the one hand and, on the other, of the often precarious working and living conditions currently prevailing in it.     

中国企业家成长路径的地理学研究

通过建构中国786位企业家四个成长阶段空间信息数据库,本文运用地理空间分析方法和复杂网络模型,在对企业家成长时空规律分析的基础上,对中国207个城市在企业家成长中发挥的作用进行了研究,并着重对在企业家成长中发挥重要作用的30个城市的角色进行了精准识别,得出以下结论：①中国企业家成长在空间上呈现出分散-集中-分散的演化过程,长三角地区是中国企业家成长最为依赖的空间载体;②企业家成长视角下的中国城市创新网络等级层次明显,北京市以绝对优势成为中国城市创新网络的核心;③在30个扮演重要角色的城市中,只有北京与宁波两市同时身兼两个角色,其中北京为成功兼创业型,宁波为成功兼奠基型。     

The US Debtfare State and the Credit Card Industry: Forging Spaces of Dispossession

Abstract: Credit card debt is a ubiquitous feature of neoliberal capitalism. To explain the notable growth of credit card usage in the US, I adopt a historical materialist approach that employs two key analytical concepts—cannibalistic capitalism and the debtfare state—to capture the material, institutional and ideological dimensions of this process. Viewed within the bounds of cannibalistic capitalism, a mode of accumulation primarily based on the expansion of fictitious capital and secondary forms of exploitation, the debtfare state enhances the social power of money by allowing major credit card issuers (banks) to generate high levels of income from uncapped interest rates and policies that ensure the extension of plastic money to those who fall within Marx's category of the surplus population. While the expansion of debt subjects surplus workers to the disciplinary requirements of the market, it is unable to suspend the main tensions of cannibalistic capitalism, prompting ongoing reconstructions of the debtfare state.     

Expanding Women's Co-operatives in China through Institutional Linkages

This article examines the institutional linkages between three women workers' co-operatives, the first women's credit co-operative in China, and the co-operative support organization, the International Committee for the Promotion of Chinese Industrial Co-operatives (ICCIC). The study shows that Chinese women in rural areas have increasingly adopted co-operatives as a form of organization in their efforts to address the problem of their lack of access to resources, including land, credit, jobs, training and information, and to participate in the mainstream economy as an organized force. This article demonstrates that stronger institutional linkages between local offices of the All-China Women's Federation and the ICCIC encourage the growth of women's co-operative activities. It raises two sets of policy issues that are central to the development of co-operatives and women's banking: the continued growth of these activities will depend upon the government adopting legislation to define the legal framework governing co-operative relations and management systems, and establishing gender-inclusive policies to increase credit to women's income-generating activities.     

Networks Mobilized to Access Key Resources at Early Stages of Biotech Firms: A Comparative Analysis in Two Moderately Innovative Countries

This paper investigates the networking behaviour of biotechnology start-ups in peripheral locations. The aim is to understand whether the conditions found in this type of environment introduce some specificities in the networking process, namely in network building and early mobilization to access key resources. The paper compares biotechnology start-ups in Portugal and in Southern Italy, focusing on relationships with research organizations and on the relevance assumed by international connections, and investigating the role played by entrepreneurs’ personal networks. The research identified some common features that diverge from the typical biotechnology start-up behaviour and can be regarded as firms’ adaptive responses to the conditions faced. Notwithstanding the frequent presence of close connections with local research organizations—that often play functions that go much beyond that of a knowledge source—the local environment is a lesser determinant for a substantial proportion of firms than would be expected in start-ups. A distinctive feature of these firms is an extensive reliance on foreign sources, for different purposes and from the very early stages. Entrepreneurs’ personal networks are found to be instrumental, both to identify and obtain knowledge in the vicinity and to support the establishment of more complex distant relationships.     

From the State to the Shareholder: Rent and the Production of Shareholder Value in Real Estate

Following the 2008 global financial crisis, the use of real estate tax credits to generate shareholder value for investors increased significantly. While tax credits are lauded as crucial to the delivery of social goods like affordable housing, the multiplier effects they supposedly generate fail to account for the hollowing out of the state that occurs as public funds are transferred to shareholders. Through a detailed case study of the historic tax credit industry in the United States, this research shows how many of the banks and financial institutions investing in tax credits have come to rely on overly engineered forms of landownership, deeply discounted credit pricing, and a wave of stock buybacks to boost their corporate profitability. This paper therefore develops a theoretical framework to understand taxation as a financialised accumulation strategy where the state serves as an important—if not problematic—source of real estate profit.     

Anchoring of Firms in the Neighbourhood: Does Local Social and Physical Order Affect Local Firms' Investment Strategies?

An increasing number of small- and medium-sized firms, whose low relocation propensity seems to point to strong local anchors, have moved to residential neighbourhoods. On the one hand, the neighbourhood context, an attractive production milieu with rich social network potential, may enable entrepreneurs to increase investments in either human capital (personnel) or physical capital (premises, production goods). These investments further anchor firms in a neighbourhood, where they contribute to a thriving local economy. On the other hand, high crime rates, a deteriorated physical environment and a lack of social capital can discourage entrepreneurs from investing locally. In this study, we conducted a multilevel analysis on the relative contribution of neighbourhood characteristics to entrepreneurial investment strategies and controlled for firm and entrepreneur characteristics. We found that neighbourhood cohesiveness and liveability—but not local market characteristics—make a small but significant contribution to explaining local entrepreneurs' investments. This contribution is even stronger for the smallest firms. Therefore, a spatially targeted policy aimed at improving social cohesion and safety is likely to benefit both residents and small local firms.     

Tourist territorialisation and geographies of opportunity at the edges of mass destinations

ABSTRACT

Geographies of tourism often highlight tourism's tendency to exclude or displace local economic actors. Tourism enclaves tend to be particularly exclusive at destination sites and urban centres. This study looks at the edge of a mass tourism town centre and investigates how landowners, entrepreneurs and employees retain a foothold in the face of tourism expansion. Conducted in 2014–2015, this microgeography of a tourist backstreet in Siem Reap, Cambodia comprises a survey of 73 of the occupants and over 40 follow-up interviews complemented by a photographic record of 135 premises. It found most local landowners retaining their properties, and only engaging strategically and selectively with the tourism economy. Entrepreneurial opportunities were initially taken by migrants from other provinces, and then, as tourism expanded, by foreigners and by local entrepreneurs with experience of employment in established tourism businesses. This study illustrates how tourism's territorialisation of back regions is quite different from that of front regions. Even in relatively impoverished settings, pre-tourism economic activities and business cultures may contribute to local actors being able to achieve relatively secure footholds in hybridised space at the edges tourism booms.     

Moral Panics and Punctuated Equilibrium in Public Policy: An Analysis of the Criminal Justice Policy Agenda in Britain

How and when issues are elevated onto the political agenda is a perennial question in the study of public policy. This article considers how moral panics contribute to punctuated equilibrium in public policy by drawing together broader societal anxieties or fears and thereby precipitating or accelerating changes in the dominant set of issue frames. In so doing they create opportunities for policy entrepreneurs to disrupt the existing policy consensus. In a test of this theory, we assess the factors behind the rise of crime on the policy agenda in Britain between 1960 and 2010. We adopt an integrative mixed-methods approach, drawing upon a combination of qualitative and quantitative data. This enables us to analyze the rise of crime as a policy problem, the breakdown of the political-institutional consensus on crime, the moral panic that followed the murder of the toddler James Bulger in 1993, the emergence of new issue frames around crime and social/moral decay more broadly, and how—in combination—these contributed to an escalation of political rhetoric and action on crime, led by policy entrepreneurs in the Labour and Conservative parties.     

Better than Cash,but Beware the Costs: Electronic Payments Systems and Financial Inclusion in Developing Economies

This article considers current proposals for using electronic payments systems to promote financial inclusion — that is, to widen the availability of financial and monetary services in developing countries. While such systems can generate significant savings in the operation of monetary systems, payment services markets are typically uncompetitive and require regulatory and broader state interventions to ensure those savings are widely distributed. The use of those systems to broaden the reach of for‐profit lenders raises a number of concerns, as a growing literature has documented how microcredit initiatives in developing countries have resulted primarily in expansions in consumption credit to households, often under predatory terms. The authors advance two original arguments in this connection. First, the perverse results of many microcredit initiatives reflect the underdevelopment of the areas concerned: without broader development strategies, potentially transformative productive projects are rare and unprofitable to finance. In contrast, widespread unmet consumption needs ensure consumption credit offers lenders a profitable alternative business orientation. Second, and in light of this, electronic payments platforms can contribute to economic development by enabling the establishment of well‐regulated or public systems of electronic ‘narrow banks’ restricted from lending, but capable of widening access to affordable payments, savings and insurance services.