The Impact of Innovation Process on the Life Cycle of the Economic Development of a Resource Based Region

The economic activity of any socio economic system is cyclical The life cycle of the economic development of a region goes through the stages of recovery expansion maturity recession and depression and is formed under the influence of intelligence reflection and the mission of a territory The formation of the life cycle of the economic development of a region is largely determined by the stages of recovery and expansion of its economy The embryonic stage of the development of a technological mode emerging in the context of the prevalence of the previous technological mode corresponds to the stage of the recovery of the economy of a region The stage of maturity corresponds to the stage of the expansion of the economic development of a region during which the new technological mode replaces the previous one and becomes the main factor of economic growth and the stabilization of the economy of a region The stage of decline of the current technological mode inevitably causes the recession in the economic development of a region and the subsequent depression The innovation processes which take place in the economy of a region during the stages of recovery and expansion have a positive impact on the life cycle of the economic development of a region and are a fundamental factor in ensuring stability and competitiveness of regional economy The life cycle of the economic development of a resource based region has its specifics since the economy of this type of regions is characterized by a focal type of development so the innovative processes in this economy have a pronounced local character