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Local development through the foundational economy? Priority-setting in Danish municipalities

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  • Birgitte Nygaard
  • Teis Hansen

Abstract

The foundational economy perspective suggests that industries, which provide services essential to all citizens’ well-being and participation in everyday life, should be placed centrally in economic development policy. This article studies the extent to which local governments put emphasis on foundational industries in their strategies for development. Moreover, drivers behind priority-setting are examined. Based on an analysis of all 98 Danish municipalities’ planning strategies and semi-structured interviews with relevant actors from two rural municipalities, we find that foundational industries are to a great extent emphasised, even if they are not characterised as the foundation for economic development. Rather, foundational industries are prioritised in the absence of other options or when municipalities are not compelled to put local job creation as a crucial focus to attract and maintain inhabitants.

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  • Birgitte Nygaard & Teis Hansen, 2020. "Local development through the foundational economy? Priority-setting in Danish municipalities," Local Economy, London South Bank University, vol. 35(8), pages 768-786, December.
    • Handle: RePEc:sae:loceco:v:35:y:2020:i:8:p:768-786
    DOI: 10.1177/02690942211010380
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    References listed on IDEAS

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    1. Mikhail Martynovich & Teis Hansen & Karl-Johan Lundquist, 2023. "Can foundational economy save regions in crisis?," Journal of Economic Geography, Oxford University Press, vol. 23(3), pages 577-599.
    2. Steve Fothergill & Tony Gore & Peter Wells, 2019. "Industrial strategy and the UK regions: sectorally narrow and spatially blind," Cambridge Journal of Regions, Economy and Society, Cambridge Political Economy Society, vol. 12(3), pages 445-466.
    3. Jaimee Semmens & Claire Freeman, 2012. "The Value of Cittaslow as an Approach to Local Sustainable Development: A New Zealand Perspective," International Planning Studies, Taylor & Francis Journals, vol. 17(4), pages 353-375.
    4. Julie Froud & Colin Haslam & Sukhdev Johal & Karel Williams, 2020. "(How) does productivity matter in the foundational economy?," Local Economy, London South Bank University, vol. 35(4), pages 316-336, June.
    5. Teis Hansen & Lars Winther, 2014. "Competitive low-tech manufacturing and challenges for regional policy in the European context—lessons from the Danish experience," Cambridge Journal of Regions, Economy and Society, Cambridge Political Economy Society, vol. 7(3), pages 449-470.
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