A West–East Perspective
Edited by Hans-Hermann Höhmann and Friederike Welter
Chapter 16: Local Policies and Trust Relations: The Case of the Vato Territorial Pact
1 Luigi Burroni NEW POLICIES FOR LOCAL DEVELOPMENT AND TRUST IN A ‘GREEN FIELD’ CONTEXT Since the mid-1970s, a growing body of research in the social sciences has highlighted the importance of processes of local development and the dynamism of industrial districts. As many researchers have demonstrated, the reasons behind the good performance of these peripheral areas can be found in a constellation of resources that had not been eroded by the Fordist model, which triggered a sort of ‘local reinterpretation’ of the process of industrialisation (Bagnasco 1977; Becattini 1987; Sabel and Zeitlin 1997; Trigilia 1986). These include, among other things, widely diffused trust, locally rooted knowhow, and a general diffusion of entrepreneurial values (Dei Ottati 1995). Furthermore, these areas were characterised by a tightly woven network of local institutional actors, including local governments, unions and employers’ associations that promoted the development of what has recently been defined as local collective competition goods (Crouch et al. 2001; 2004). The importance of these goods has increased further since the beginning of the 1990s, when the paradox related to the local roots of economic development began clearly to take shape. While globalisation increases the territorial mobility of firms, it also renders them more dependent on their immediate external context. This paradox implies that the competitiveness of the single firm and of local and regional economic systems increasingly depends on how effective local actors are – whether individual, collective, private or public – in creating co-operative agreements that not only deliver price benefits, but also...
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