Formaton of developmental coalitions 1BR 251006

Formaton of Developmental CoalitionsComparing Slovenia and Denmark: 

Formaton of Developmental Coalitions Comparing Slovenia and Denmark Borut Rončević, Slovenia

The Role of Social and Cultural Factorsin Economic Development: 

The Role of Social and Cultural Factors in Economic Development Why dealing with “fog” analysis? Should I become a writer? Long tradition of research on culture as a key factor for understanding of societies and to analyse their economic and political development Margaret Mead, Ruth Bendict, Davis McClelland, Edward Banfield, Alex Inkeles, Lucien Pye etc. Cultural turn (1980s) (e.g. studies of Asian capitalisms) Why? Evidence that “Culture matters”!!! M. Porter – culture plays a role J. Sachs – geography and social structures yes, but not culture Policy relevance of non-economic factors!!!

Slide3: 

Source: R. Inglehart, in Harrison and Huntington, 2000 “Cultural mapping”

Social Capital: 

Social Capital How social capital contributes to development and competitiveness? Social capital as: a catalyst for disseminating human and intellectual capital the basis fo greater levels of synergy and co-ordination a “lubricant” of network (project) organisations a facilitator of intermediary institutions

Theoretical perspectives on developmental coalitions: 

Theoretical perspectives on developmental coalitions the end of Fordist paradigm + globalisation and regionalisation of economy => interest in multi-functional linkages of businesses with their environment “discrete charm of hidden objects of desire”

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Low level on consensus on: Concepts and definitions What is a business cluster? business clusters, networks, technopoles, business systems, industrial districts, systems of innovation… Main approaches (Jacobs and de Man): regional concentration of economic activities vertical production chains (incl. hierarchical networks) highly aggregated approach (M. Porter)

Model for the analysis of strategic competencies: 

Model for the analysis of strategic competencies Starting points: focus on one actor, sector or level is insufficient => variety of micro actors and emergent subsystems art of separation (functional differentiation) + art of communication => need for intersystemic linkages and need for internal integration ability to articulate interests and coordinate activities (self-referentiality and reflexiveness) => competence at the micro and the macro level socio-cultural field as a soft field of interactions => social capital (M. Woolcock’s four types of social capital)

Slide10: 

Table: High Social Capital (1) The proportions of respondents who claim to generally trust people. Data from European Values Survey 1999; data for Norway and Switzerland from World Values Survey 1995 (2) The self-reported unpaid work in various voluntary associations (15) per respondent. Data from European Values Survey 1999; data for Norway and Switzerland from World Values Survey 1995 (3) The proportion of respondents who claim to spend time in clubs and associations at least weekly and monthly.

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Table: Medium Level of Social Capital Table: Low Level of Social Capital

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( WCY estimates: 1-is insufficient; 10- is sufficient) Sources: World Competitiveness Yearbook, 2002: 553) The Global Competitiveness Report 2001-2002

Slide13: 

Table: High Cognitive Mobilisation (1) Data from The Global Competitiveness Report 2001-2002 (pp. 104) (2) Data from the Human Development Report 2002 (pp. 149-150) (3) Data from World Competitiveness Yearbook 2002 (pp. 627); Towards a European Research Area 2002 (pp. 70) – Latvia, Romania, Bulgaria, Lithuania (4) Data from Human Development Report 2002 (pp. 186-187)

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Table: Medium Cognitive Mobilisation Table: Low Cognitive Mobilisation

Empirical analysis: 

Empirical analysis Summer/Autumn 2002 Semi-structured interviews (15 in Slovenia, 15 in Denmark) 17 questions, divided into 5 groups the role of different actors and subsystems with developmental strategies formulation and implementation Relationship towards the foreign capital Linkages in the business sector Cooperation between business and R&D institutions (“triple helix”) Representatives of all spheres mentioned in the model Results?

Policy implications: 

Policy implications Social capital is the key factor to be influenced in policy-making But: Social capital cannot be easily created by public policies It is not “re-distributable” good past is beyond the influence of the state Fukuyama: Educational policies Stability of ownership rights, of public goods, and security Hands off approach if possible Hierarchical structures: imbalance of power!

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Some guidelines for policy making Need for a set of policies of localised learning Possibility of limitation of policies rather limited In line with market processes!!! Supporting systemic learning: institutions have to change with the environment Room for manouvre and variability