The main focus of the paper is on the recent development of clusters defined as “resource areas”. The concept has been a cornerstone in the technology and industrial policies laid out from the Danish Ministry of Business and Industry, since 1993. Earlier studies (industrial complexes) identified clusters using transactions, often in an input-output framework, while the present clusters are to a larger degree based upon a demand perspective. The paper firstly describes and assess the earlier industrial complex studies, and other related case studies of clusters of particular positions of strength in the Danish economy. The industrial complexes and micro-founded studies of Danish clusters, have all been either a direct input, or a reference point when developing the resource areas. However, the most direct influence have been the Danish Porter studies. Denmark participated as one of ten countries in M. E. Porter’s analysis of clusters of competitive advantages. Accordingly, the Danish Porter studies are summarised. In continuation hereof, the development of the methodology applied for developing the resource areas, is discussed in a historical perspective. Furthermore, different techniques for identifying industrial clusters are considered, including input-output approaches. Finally, the paper warns that theoretically based studies and practical policy actions do not always combine easily. Striking a balance between allowing for pragmatic policy making (with more than a single aim) on the one side, while not losing the theoretical foundation on the other, is an important task.
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Paper provided by DRUID, Copenhagen Business School, Department of Industrial Economics and Strategy/Aalborg University, Department of Business Studies in its series DRUID Working Papers with number
97-14.
Find related papers by JEL classification: E61 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - Policy Objectives; Policy Designs and Consistency; Policy Coordination O31 - Economic Development, Technological Change, and Growth - - Technological Change - - - Innovation and Invention: Processes and Incentives R10 - Urban, Rural, and Regional Economics - - General Regional Economics - - - General
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