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CIRCLE, Lund University, Sweden

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1 CIRCLE, Lund University, Sweden
Discussion: REGIO-ERSA Joint Lecture by Prof. Kevin Morgan: The Public Animateur: Place-based Innovation and the Smart State Michaela Trippl CIRCLE, Lund University, Sweden Brussels, 17th June, 2016

2 Introduction Rethinking the role of governments and public policy: the entrepreneurial, experimentalist, smart state From glorifying the market towards glorifying the state? Acknowledging new elements in the discussion: integration of ideas from new industrial policy (NIP)

3 Overview The smart state is not a monolith
The smart state and the challenge of inclusive governance The smart state in less-developed regions: the outward looking and anchoring state

4 The smart state is not a monolith
Bewildering array of organisations / units at the municipal, regional, national and EU policy level Variety of public authorities & policy organisations directly or indirectly shape innovation & diversification capacities of regional economies Smart policy organisations do not suffice Coordination challenges: horizontal policy coordination (innovation policy does not suffice) & vertical policy coordination (MLG) Autonomy challenges - smart but powerless: smart regional policy actors located in centralist states?

5 The smart state and the challenges of inclusive governance
Challenges of embedded autonomy: forging public- private interaction – avoiding policy capture by vested interest groups Coordination capacity of the private sector: a neglected theme? Experimenting with inclusive governance: beyond top- down policies and involvement of “usual suspects”

6 The smart state and the challenges of inclusive governance
Challenges vary considerably across regions: Challenges in developed regions: balancing between established and new actors / giving voice to previously overlooked actors: beyond triple helix constellations Challenges in less-developed regions: absence of interlocutors: limited capabilities (SMEs) or limited interest (MNCs, universities)

7 The smart state in less-developed regions
State: part of the solution or part of the problem? Poor quality of government: fundamental barrier to regional development & innovation  institutional reforms as core challenge Less-developed regions are not a homogeneous group: wide variation of potentials and challenges in LDRs in Southern, Eastern and Central / Northern parts of Europe

8 Structural change in LDRs
Routes of path development New path creation Path importation Path branching Path upgrading Path extension Which route of diversification should LDRs choose? Path importation: an overlooked phenomenon? Which type of policy is required?

9 The smart state in less-developed regions
The outward looking state … Activating endogenous potentials and harnessing exogenous sources of change Fundamental dilemma of LDRs: strong need for non- local knowledge but weak attraction and absorption capacities

10 Smart specialisation and non-local sources of transformation
Exogenous sources of new regional industrial path development: the challenge for LDRs Smart specialisation and non-local sources of transformation Attraction capacity Anchoring capacity Need high low low Non-local knowledge links Trade linkages R&D collaborations Global innovation networks GVCs Arrival of new actors from outside the region Organizational actors: (Resettlement of firms, establishment of R&D bodies) Individual actors (highly skilled people, engineers, entrepreneurs, scientists) LDRs: thin RIS Thick & specialized RIS Thick & diversified RIS low high high

11 The smart state in less-developed regions
The outward looking and anchoring state Creating a favourable regional environment for the local diffusion of incoming knowledge  policies promoting the absorption and anchoring capacity Combining actor-based and system-based policies

12 Many thanks for your attention !


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