Regional Science in Brooklyn: Confronting the crisis
Peter Wood attended the North American Regional Science Council meeting in Brooklyn New York in November at a time when economic prospects on both sides of the Atlantic look increasingly grim.
In a paper on recent policy developments in the UK, Professor Wood reflected on the regional implications of the UK’s increasing dependence on service innovation, at a time when the credit crunch and bank bailouts were rising to a new intensity. The economic crisis seems likely to reduce the long term levels of financial and other service innovation in the UK and thus the scale of activities in London. The most damaging effects, however, may be on London’s aura of financial and business competence, accelerating the shift eastward in the balance of global economic, and now financial, power. This is not good news for other UK regions. Market contraction and cost cutting by international service corporations will also remove a substantial share of their recent financial and business service growth. The need for a national strategy to promote various forms of tradable service innovation in all regions of the country is increasingly urgent. A copy of the paper can be accessed here.