Commonwealth Local Government Forum

Local economic development

Local economic development is a central part of developmental local government. It is a process which brings together different partners in the local area to work together to harness resources for sustainable economic growth and poverty reduction. Local economic development is increasingly being seen as a key function of local government and a means of ensuring that local and regional authorities can address the priority needs of local citizens in a sustainable way. There is no single model for LED; approaches reflect local needs and circumstances. Themes include local economic development guides, tourism, support to small, medium and micro enterprises, microfinance and credit and public-private partnership.

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Location of Repository The public value of urban local authority collaboration as economic development policy: the role of institutions

The thesis aims to understand: what constitutes urban collaboration and its relationship with policy outcomes? The research develops a conceptual understanding of the public value (PV) (Bardach, 1998; Moore, 1995, Smith, 2004) of Urban Local Authority Collaboration (ULAC) as economic development policy, relative to three theoretical domains in the literature: economic collaboration (i.e. new/old institutional economics: Ostrom 1990, 2016; Williamson, 2000); spatial collaboration (i.e. institutional economic geography: Ostrom, 2010; Gerber, 2015; Tarko and Aligica, 2012), and governance collaboration (i.e. collective action theory: Hulst and van Monfort, 2012; Feiock, 2008, 2013). Theoretically, the ‘institution’ (Amin, 2001; Jessop, 2001; Williamson, 2000; Aligica and Boettke, 2009; Gertler, 2010) is a distinct conceptual dimension connecting the theoretical literature, bridging scholarly boundaries across compatible ontological insights (Bathelt and Gluckler, 2003; and Hay, 2011). \ud A conceptual framework is developed to help understand: a) what ULAC looks like; b) how ULAC creates PV and, c) why institutions explain the PV of ULAC. A purposeful single case study of ULAC (i.e. the Scottish Cities Alliance (SCA): a formalised institutional policy network involving seven Urban Local Authorities (ULAs) and the Scottish Government) involved collecting data using semi-structured interviews, secondary data, policy documentation and non-participant observation. The emergence of the SCA as economic development policy in Scotland – conducive to an institutionally sensitive theoretical approach – presents a valuable opportunity to contribute towards an empirical and theoretical understanding of ULAC. Using template analysis, findings emerged through process-tracing, sense-making and thick narrative descriptions to reveal aggregate dimensions and second-order themes and first-order concepts. The thesis responds to calls for in-depth case study research of the way local government collaboration operates and performs (Hulst and Montfort, 2012), engaging with the ‘fuzzy’(Markhusen, 2003) concepts and processes of ‘urban collaboration’, ‘policy outcomes’ and ‘institutions’ to reveal a lack of empirical and conceptual understanding of how ULAC operates: particularly the role of ‘urban’ institutional context as a ‘key actor attribute’ (Hulst and van Monfort, 2012: 139). Using a critical realist ontology (Jessop, 2005), the research is best suited to Stake’s (2005) interpretive methodological approach to contextualised theorising, using the SCA in Scotland to investigate the ‘contextualised’ Institutional context, to help inductively conceptualise the PV of ULAC as economic development policy. Whilst conscious of the risks of methodological and conceptual ‘stretching’ (Stubbs, 2005: 71) , the research uses Scotland as a case study to conceptualise the more generic, abstract features of ULAC as a ‘theoretically vague’ term that may ‘travel’ (Stubbs, 2005: 71). The results validate a realist perspective of the theoretical role of formal and informal institutions shaping the contextual path dependant nature of the PV of ULAC. The methodological contribution of the thesis highlights how a new evolving model of economic and spatial governance in Scotland, presents potential challenges for the future delivery of urban policy and practice in Scotland, before closing with a discussion of research limitations and recommendations for areas of future academic research

Author: Linda Christie Publisher: University of Glasgow Publication year: 2018


Local Economic Development Training Module; Introduction to Local Economic Development

This module provides condensed information on local economic development and the role of local governments as well as practical exercises that will serve as examples for planning local economic development in their municipalities. 

Author: UCLG ASPAC Secretariat Jakarta Capital City Government Publisher: UCLG ASPAC Secretariat Jakarta Capital City Government Publication year: 2016


Creating a strategic plan for local economic development: a guide

This guide is aimed at municipalities and local government authorities seeking to create local economic development plan. Strategic planning is core to successful local economic development initiatives, and this simple to read guide will assist communities in visioning, identifying priorities and creating action plans.

Author: Marion Villanueva Publisher: CARILED Publication year: 2014


A Human Rights Approach to Localising The MDGs Through Gender-Equitable Local Development

Until now, the United Nations Capital Development Fund’s (UNCDF) Gender Equitable Local Development (GELD) programme has not been presented within an explicit human rights framework. This is strange given that the human rights based approach to development (HRBAD) aims to ensure that all human beings can live their lives fully and with dignity. HRBAD is fundamentally about the healthy and full development of individuals and communities. In addition, one of human rights’ central concerns is that people have equal access to the benefits of society. Initiatives to realize human rights therefore give priority to the most marginalized - the poorest - in a society. It is those individuals who have most difficulty in securing the basics that are essential to living their lives with dignity. Women in all communities are disproportionately represented among the poor. Thus, human rights have gender equity as a central focus. Put another way, we are dealing with the feminization of poverty. We are dealing with the concept of equal access (to development). In short, we are dealing with those who need (and deserve) greater priority in access to infrastructure and supporting services in order to reach a point of equality.

Author: Ron McGill Publisher: Commonwealth Journal of Local Governance Publication year: 2009


Developmental Local Government in South Africa: Institutional fault lines

This paper provides a brief introduction to the recent history of, as well as the legal and policy framework for, local government in South Africa. It discusses the transformation of local government from a racially configured, illegitimate arm of the apartheid government into a system designed to produce developmentally oriented municipalities. The progress made by South African municipalities towards realising the vision of developmental local government is remarkable and unprecedented. Over the last 13 years, municipalities have embarked on the extension of infrastructure and development, whilst absorbing fundamental changes to their internal governance and management arrangements, financial management systems and intergovernmental responsibilities. The new local government system offers great potential for the realisation of a better life for all citizens, facilitated by a new generation of municipalities. However, the challenges remain huge and some of these can be attributed to institutional fault lines. These include challenges that come with large, inclusive municipalities, new executive systems and the political appointment of senior officials. The paper also identifies the downside of overzealous institutionalisation of community participation. With regard to intergovernmental relations, the paper highlights the need for a clearer definition of local government mandates and a greater recognition of the role of big cities. The current insistence on comprehensive intergovernmental alignment of policies and budgets is questioned, and suggestions are made to substitute this with an approach of selective alignment around key national priorities.

Author: Jaap de Visser Publisher: UTS Press Publication year: 2009


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