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Region: Economics and Sociology

2015 year, number 4

Local knowledge based development. What can local governments do for it?

Institute of Regional Studies, Hungarian Academy of Sciences, Pecs, Papnovelde str. 22, Hungary
Keywords: знания, региональные власти, управление, инновации, развитие экономики, конкурентоспособность отраслей и регионов, knowledge, regional governments, governance, innovation, development of the economy, competitiveness of industries and regions


The article stresses that foreign public policy literature is focusing on interdependences among producing, expanding and impacts of knowledge. The author uses a complex approach, considering the interrelation of production, transfer and the use of knowledge, setting these phenomena into spatial frames and linking them with development policy. The reason of this specific focus is supported by recent political ambitions in the EU countries to strengthen the role of local economic development aimed at decreasing regional inequalities. The author outlines the theoretical frames of knowledge-based governance and development, like the urban regime theory, local knowledge, and regional innovation theories. Based on her own empirical research experiences, the author introduces the main characteristics of the Hungarian local government system which tends to be limited in its scope and competences in local development due to the legislation in the last years referring. The paper concludes that the European, so-called place-based development policy cannot be implemented in this very centralized governance context.