Competitive Regional Clusters: National Policy Approaches

The paper explains the background for regional clusters encouragement and specifies several policy tools.

The global competition changes the industrial composition of economies worldwide as industries move to cheaper producing countries and new industries emerge instead. In order to meet this challenge, governments try to encourage the creation of competitive regional clusters which exploit economy of scale and utilize unique advantages. The creation of such cluster is usually the combination of regional, technological and industrial development policies.

The paper specifies the advantages of industrial clusters, the relevant partners for their creation, the tools needed for their encouragement and the government role. Additionally, the paper presents several examples of clusters creation in the world.

OECD, Competitive Regional Clusters: National Policy Approaches, 2007

For the full article, click here.