1. CHANGING PERSPECTIVES OF REGIONAL COMPETITIVENESS SOME INSIGHTS FROM FIELD ANALYSIS Open Days European Week of Regions and Cities Michael Steiner Brussels, 10 th – 13 th October 2005 Institute of Technology and Regional Policy - InTeReg Elisabethstraße 20 A-8010 Graz Tel.: ++43 316 876 1488 Fax: ++43 316 876 1480 e-mail: michael.steiner@joanneum.at Karl-Franzens-University Graz Department of Economics Universitätsstraße 15/F4 A-8010 Graz Tel.: ++43 316 380 3450 Fax: ++43 316 380 9520 e-mail:michael.steiner@uni-graz.at

2. endogenous nature of knowledge tacit knowledge as non-ubiquified knowledge learning as a social process in regional embeddings regional networks as institutions for knowledge generation and diffusion NEW EMPHASIS ON REGIONAL COMPETITIVENESS – AN EXTENDED AUSTRIAN PERSPECTIVE - allocative versus creative function of the market - process-oriented perspective and path- dependency - new dimensions of knowledge for regional competitiveness - differential behaviour and variety as essential elements of dynamic efficiency

3. GENERAL TRENDS OF REGIONAL POLICY IN AUSTRIA - rising importance of regional dimension of economic policy - stronger sense of economic self-awareness of "Länder" - professionalisation of regional policy - communicative character - evaluation

4. SUCCESS/FAILURES OF PAST PROGRAMMING PERIODS - high expectations at the beginning (1995) gaining importance of regional policy no compelling evidence of reduction of disparities little programmatic and methodological innovation enabling effect institutional added value - modest macroeconomic effects - pros and cons

5. PERSPECTIVES AND MAIN ELEMENTS OF FUTURE PROGRAMMING PERIOD - no single dominating regional development problem but large variety of problem situations - territorial cooperation across borders - innovation and technology orientation as a dominant priority - not only high-tech - Structural Funds one of several measures

6. COMMENTS TO CHOSEN APPROACH (1/2) - empirical analysis as stylized facts percentages without knowledge of absolute amount Structural Funds not designed for big problems priorities no deductive consequence of empirical analysis - empirical analysis basically in accordance with dominant regional perspective -unavoidable data limits - underestimation of interregional aspect - reluctance to accept financial breakdown

7. COMMENTS TO CHOSEN APPROACH (2/2) - different emphasis on given priorities innovation support takes different forms different dimensions of accessibility environment and risk prevention as an overlapping goal

8. GUIDELINING POLICY – BETWEEN STYLIZED FACTS, REDUCTIONISM AND NECESSARY PERSPECTIVES - systemic thinking versus quantitative goals - empirical analysis as stylized facts - need for priority setting