Research summary
This project considers the extent to which regional growth policies (RGPs) focus on the foundational economy – a set of goods and services necessary for everyday life, as well as for the broader functioning of the economy as a whole – and the ability of these policies to drive inclusive growth through social innovation.
It combines regional policy studies in Wales, the wider UK and Europe with action research in specific sectors.
We ask:
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To what extent are RGPs focusing on the foundational?
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Are RGPs addressing inclusive growth through social innovation in specific sectors?
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What forms of social innovation are being adopted in different regional contexts?
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How can interventions in foundational economy sectors contribute to regional growth and civic gain?
Our research indicates that public sector innovation is critical to the success of a place-based innovation strategy, especially the way departments and agencies co-ordinate and communicate their plans.
Social innovation is a neglected aspect of the European Union’s Smart Specialisation programme in practice because regional bodies have little knowledge of what social innovation means.
Our research also shows that regional growth policies and strategies have limited innovative experimentation and their engagement with civil society organisations is thin. This has potentially harmful consequences for civic stratification.
We aim to find placed-based solutions, experiments with social mechanisms and new institutional forms that encourage citizenship, as well as to discover foundational economy approaches that promote civic benefits.
The Foundational Economy
The foundational economy refers to a variety of activities whereby the goods produced are consumed by all citizens regardless of income and status.
These sectors tend to be territorially distributed according to population, and are typically sheltered and politically franchised.
Sectors in the foundational economy include: