IDEAS home Printed from https://ideas.repec.org/p/wiw/wiwrsa/ersa12p234.html

Northern old industrial regions: breaking the path in resource development

Author

Listed:
  • Alexander Pelyasov

  • Natalya Galtseva

Abstract

The major reason of economic depression of old industrial regions is the aging of their economic structure and loss of competitive advantages of their basic sectors. Not the sectors of the regional economy are getting old but determined by economic age conditions of their development in the concrete region. Indicators of basic sectors getting old can be production of non-competitive output because of backward technique and technology, ineffective organization of the industrial process etc. It is possible to include in the list of old industrial regions not only manufacturing but also resource-dependent regions like Magadan Oblast in the North-East of Russia. Resource regions have distinct specificity in their aging: it is general decrease in the quality of extracted resources and lack of technology to utilize depleted resources. Generally the main directions of the restructuring of the economy of the old industrial regions are diversification, introduction of product, process and organizational innovations and elaboration of new competencies. Magadan Oblast in the North-East of Russia has been developed its gold deposits for more than 80 years. So it can be regarded as Northern resource old industrial region. And its directions of economic restructuring lie in resource diversification, technological and institutional innovations, and new economic competencies of the labor force. Efficiency of each direction of regional economic restructuring is measured by indicators of GRP, employment, and real income. At the result of different combination of the projects in the three directions of restructuring one can characterize four scenarios for Magadan Oblast future development. The first is connected with the introduction of innovation in the existing resource projects. The second includes existing and new projects connected with coal deposits. The third includes the projects from the previous scenarios plus project of diversification connected with elaboration of tin and tungsten deposits. This scenario can help Magadan Oblast to come into the group of Russian regions with the average level of economic and social development. And finally fourth scenario related to the large-scale exploitation of the off-shore oil and gas deposits can help to change radically the economic specialization of the region and increase rates of economic growth of the previously territory of economic depression.

Suggested Citation

  • Alexander Pelyasov & Natalya Galtseva, 2012. "Northern old industrial regions: breaking the path in resource development," ERSA conference papers ersa12p234, European Regional Science Association.
    • Handle: RePEc:wiw:wiwrsa:ersa12p234
    as

    Download full text from publisher

    File URL: https://www-sre.wu.ac.at/ersa/ersaconfs/ersa12/e120821aFinal00236.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Udo Staber, 2001. "Spatial Proximity and Firm Survival in a Declining Industrial District: The Case of Knitwear Firms in Baden-Wu¨rttemberg," Regional Studies, Taylor & Francis Journals, vol. 35(4), pages 329-341.
    2. Gunther Maier & Michaela Trippl, 2011. "New Knowledge for Old Regions? The Case of the Software Park Hagenberg in the Traditional Industrial Region of Upper Austria," ERSA conference papers ersa11p1830, European Regional Science Association.
    3. Romer, Paul M, 1990. "Endogenous Technological Change," Journal of Political Economy, University of Chicago Press, vol. 98(5), pages 71-102, October.
    4. Mihkel Laan, 2003. "Industrial restructuring in transitional Baltic Sea Region countries (Baltic States, Kaliningrad oblast)," ERSA conference papers ersa03p505, European Regional Science Association.
    5. Romer, Paul M., 1990. "Human capital and growth: Theory and evidence," Carnegie-Rochester Conference Series on Public Policy, Elsevier, vol. 32(1), pages 251-286, January.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Kostakis, Ioannis & Lolos, Sarantis & Doulgeraki, Charikleia, 2020. "Cultural Heritage led Growth: Regional evidence from Greece (1998-2016)," MPRA Paper 98443, University Library of Munich, Germany.
    2. Drivas, Kyriakos & Economidou, Claire & Karamanis, Dimitrios & Sanders, Mark, 2020. "Mobility of highly skilled individuals and local innovation activity," Technological Forecasting and Social Change, Elsevier, vol. 158(C).
    3. Voxi Heinrich Amavilah & Antonio Rodríguez Andrés, 2024. "Knowledge Economy and the Economic Performance of African Countries: A Seemingly Unrelated and Recursive Approach," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 15(1), pages 110-143, March.
    4. Ademola Obafemi Young, 2019. "Growth Impacts of Income Inequality: Empirical Evidence From Nigeria," Research in World Economy, Research in World Economy, Sciedu Press, vol. 10(3), pages 226-262, December.
    5. Lodde, Sergio, 1999. "Education and growth; some disaggregated evidence from the Italian regions," ERSA conference papers ersa99pa117, European Regional Science Association.
    6. Aurora Teixeira & Natércia Fortuna, 2003. "Human Capital, Innovation Capability and Economic Growth," FEP Working Papers 131, Universidade do Porto, Faculdade de Economia do Porto.
    7. Ma Salinas-Jiménez & Javier Salinas-Jiménez, 2011. "Corruption and total factor productivity: level or growth effects?," Portuguese Economic Journal, Springer;Instituto Superior de Economia e Gestao, vol. 10(2), pages 109-128, August.
    8. Maw-Lin Lee & Ben-chieh Liu & Ping Wang, 1993. "Growth and equity with endogenous human capital: Taiwan's economic miracle revisited," Working Papers 9325, Federal Reserve Bank of Dallas.
    9. Amavilah, Voxi Heinrich, 2018. "Endogenous constraints, coefficients of economic distance, and economic performance of African countries – An exploratory essay," MPRA Paper 90065, University Library of Munich, Germany.
    10. Arnold, Lutz G., 1998. "Growth, Welfare, and Trade in an Integrated Model of Human-Capital Accumulation and Research," Journal of Macroeconomics, Elsevier, vol. 20(1), pages 81-105, January.
    11. Kul Luintel & Mosahid Khan & Konstantinos Theodoridis, 2014. "On the robustness of R&D," Journal of Productivity Analysis, Springer, vol. 42(2), pages 137-155, October.
    12. Richard Kneller & Norman Gemmell, 2002. "Fiscal Policy, Growth and Convergence in Europe," European Economy Group Working Papers 14, European Economy Group.
    13. Laabas, Belkacem & Weshah, Razzak, 2011. "Economic Growth and The Quality of Human Capital," MPRA Paper 28727, University Library of Munich, Germany.
    14. Jones, Larry E. & Manuelli, Rodolfo E., 1997. "The sources of growth," Journal of Economic Dynamics and Control, Elsevier, vol. 21(1), pages 75-114, January.
    15. Amavilah, Voxi Heinrich, 2008. "Domestic resources, governance, global links, and the economic performance of Sub-Saharan Africa," MPRA Paper 11193, University Library of Munich, Germany.
    16. Osipian, Ararat, 2007. "Human capital—economic growth nexus in the former Soviet Bloc," MPRA Paper 8463, University Library of Munich, Germany.
    17. Ilkhom SHARIPOV, 2015. "Contemporary Economic Growth Models And Theories: A Literature Review," CES Working Papers, Centre for European Studies, Alexandru Ioan Cuza University, vol. 7(3), pages 759-773, September.
    18. Joydeb Sasmal & Ritwik Sasmal, 2023. "Public Expenditure, Human Capital Formation and Economic Growth in Modified Lucas Framework: A Study in the Indian Context," Journal of Quantitative Economics, Springer;The Indian Econometric Society (TIES), vol. 21(4), pages 745-768, December.
    19. Shahin Javadi & Mahmood Motevaseli & Jahangir Yadolahi Farsi, 2017. "Petro Rents and Higher Education: A Cross-country Examination," International Journal of Economics and Financial Issues, Econjournals, vol. 7(3), pages 516-522.
    20. Maria Rosa Trovato, 2020. "Human Capital Approach in the Economic Assessment of Interventions for the Reduction of Seismic Vulnerability in Historic Centres," Sustainability, MDPI, vol. 12(19), pages 1-33, September.

    More about this item

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:wiw:wiwrsa:ersa12p234. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Gunther Maier (email available below). General contact details of provider: http://www.ersa.org .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.