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Local Agency on the Edge: Regional Development, Human Wellbeing and Social Resilience

Author

Listed:
  • Grillitsch, Markus

    (CIRCLE, Lund University)

  • Cobos-Cabral, Francisco

    (CIRCLE, Lund University)

  • Horvat, Andrej

    (U-LEAD with Europe - Ukraine Local Empowerment, Accountability and Development Programme at GIZ)

Abstract

Local agency on the edge relates to situations that are particularly harsh and difficult, places where regional development is most needed but also most difficult to achieve. We study the role and relevance of local agency in such situations, as well as enabling and hindering conditions for local agency to emerge. We do this in two peripheral municipalities in Ukraine that were attacked and temporarily occupied by Russian forces but have shown a high degree of resilience. Theoretically, we propose a broad conception of development, which includes human wellbeing and social resilience. Such a broad conception also necessitates a more comprehensive understanding of local agency underpinning development, including social and technological innovation, institutional entrepreneurship and place-based leadership. The cases provide evidence for the potential development impact of bottom-up initiatives, which may unfold if local actors are sufficiently empowered. In the context of the study, a governance reform played an important role comprising decentralisation and municipal amalgamation in the wider context of a mindset change in favour of approximation towards the European Union. Local actors changed institutions, leading to better governance and participation from the citizens. Empowerment of local actors allowed for the successful implementation of multiple projects impacting citizens' wellbeing, improving health and education institutions, as well as cultural, sports and recreation facilities. These changes opened opportunities for increased entrepreneurial activity, contributing towards employment and tax revenue. Moreover, resilience to the Russian invasion rested on improved governance, relationships, citizen engagement, and capacities for project management developed before the war.

Suggested Citation

  • Grillitsch, Markus & Cobos-Cabral, Francisco & Horvat, Andrej, 2026. "Local Agency on the Edge: Regional Development, Human Wellbeing and Social Resilience," Papers in Innovation Studies 2025/5, Lund University, CIRCLE - Centre for Innovation Research.
  • Handle: RePEc:hhs:lucirc:2025_005
    Note: We would like to thank the team of U-LEAD with Europe for facilitating this research. The Multi-Donor Action "Ukraine Local Empowerment, Accountability and Development Programme (U-LEAD with Europe) is joint action of the European Union and its member states Germany, Poland, Denmark, and Slovenia.
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    Keywords

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    JEL classification:

    • I31 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - General Welfare, Well-Being
    • O18 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure
    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes

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