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Globalization and Endogenous Development PDF
Globalization and Endogenous Development PDF
development
Over the last decade, a new paradigm haunts the world: the globalization of
both the economy and society. Productive systems and markets steadily
acquire global dimensions, states relinquish leadership to innovative firms
(generally multinational) as new information, transportation and communi-
cations technology facilitate and reinforce interaction among organizations.
The globalization process means increased market competition, which
calls for continual adjustments in the productive systems of countries,
regions and cities immersed in the process. Since firms do not compete
alone, but rather within the context of their productive and institutional
milieu, globalization fosters new modes of organization in city and
regional systems, in accord with the new international division of labor.
While the new scenario of competition among firms and territories is
being defined, firms and organizations introduce innovations, more flex-
ible forms of productive organization are created and new productive
spaces appear as cities and regions provide strategic responses to the chal-
lenges of increased competition in the markets. Thus, they find they must
once again respond to the question of productive dynamics and develop-
ment, that is, of what factors determine capital accumulation processes, in
such a way as to satisfy the needs and demands of the citizens.
From a context of economic, organizational, technological and institu-
tional transformation, the notion of endogenous development emerges as
an effective instrument for analysis and action. We will begin by attempt-
ing to answer the simple questions. What factors make it possible for the
endogenous development approach to explain capital accumulation
processes in times of globalization and what is the relation among them?
What is the role of the state in processes of accumulation and develop-
ment? To what extent are local initiatives useful instruments in stimulat-
ing urban and regional development?
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