Fragile Governance and Local Economic Development:Theory and Evidence from Peripheral Regions in Latin America
Sergio Montero, PhDCIDER, Universidad de los Andes
@sergemont
(with Karen Chapple, University of California, Berkeley)
Looking beyond the megacity
Quetzaltenango, Guatemala
Arauco, Chile
Linhares, BrazilLurín, Peru
Córdoba, Argentina
Fieldwork:
• 2012-2016• 6 cases studies• 200+ interviews• 6 researchers• 3 universities
UC Berkeley,Universidad de Deusto, Universidad de los Andes
Mompox, Colombia
Original book title:
Peripheral Regions, Fragile Governance:Local Economic Development from Latin America
Proposed title by Routledge:
Fragile Governance and Local Economic Development:Evidence from Peripheral Regions in Latin America
Ananya Roy (2011) “new geographies of theory”
Urban theory from the South
Jennifer Robinson (2002) Cities “off the map”
Title Agreement (at least for now)
Fragile Governance and Local Economic Development:Theory and Evidence from Peripheral Regions
in Latin America
Experimentation with economic development policy at the Inter-American Development Bank
(Sectoral) Business development centers for SMEs (1990s)
Productive Integration Projects (2000s)• Clusters• Global value chains
Local economic development • Territorial/institutional approaches (2010s)
Lurín Valley, Peru
Artificial Water Reservoirsin Tupicocha (Lurín Valley, Perú)
Governance
A CHRONOLOGY OF WATER RESERVOIRS
• 1983. Teodoro Rojas returns to Lurín (Gallito Ciego story + Cullpe networks)• 1991. First water reservoir built: positive attitude towards change emerged in Lurín• 1991-2010. More reservoirs built (8 in total) – they become a model• 2007. Teodoro becomes mayor of Tupicocha – able to channel national funds
(FONCODES, Coop. Popular) + local funds to water reservoir projects:
SUCCESSFUL INSTITUTIONALIZATION AND SCALING UP OF COLLABORATION• 2011 Teodoro becomes president of the Mancomunidad de Lurín
2 large projects for water reservoirs in region approved
Teodoro Rojas
EMERGENCE OF TOURISM: House Painting Project in Antioquía
AGRO-FOOD INDUSTRY: Fruit Processing Plant in Cochahuayco
3 TYPES OF LEARNINGIN LURÍN
* Technical Knowledge* Storytelling* Experiential Knowledge
* Learning >> Economic Development
TO:
* Learning >> Governance >> Economic Development
RELATIONSHIP BETWEEN LEARNING, GOVERNANCE AND ECONOMIC DEVELOPMENT
GOVERNANCE DIMENSIONS
* Vertical* Horizontal
Literature on local economic development in English:
- Focus on the dynamics of large urban agglomerations and successful or aspiring global city-regions (Silicon Valley model)
(Krugman 1990, Saxenian 1996, Porter 1998, Sassen 2001, Scott & Storper 2007, Storper 2013, Piscione 2013)
Literature on Latin American local economic development in small and medium-sized cities in Spanish:
- Extremely optimistic: quality of life, networks of proximity, etc.(Méndez et al. 2006, Michelini & Davies 2009, Vázquez Barquero
2010)
- Extremely pessimistic: corruption, “recentralization,” etc.(Jordan & Simioni 1998, Machado 2000, Bolay & Rabinovich 2004)
Why this book? Why fragile governance?
Transfers to subnational entities(Mexico, Bolivia, Colombia, Brazil)
Peripheral Regions
Habitat III – Local Economic Development issue paper
“It is estimated that 600 cities will generate nearly 65% of world economic growth by 2025. For example, 1.9% of the population of China lives in Shanghai and the city produces 13% of GDP…
given the productivity of cities, rapid urbanization presents a unique opportunity to lift hundreds of millions out of poverty”
Dependency Theory vs. Modernization Theory
Periphery as a dynamic category of analysis
”peripheries are spaces never quite done, always being altered, expanded, and elaborated on. Seen as processes of becoming, then, peripheries may be everywhere, not necessarily on the fringes of a city or metropolitan region.” (Caldeira 2015)
Peripheral Regions, Fragile Governance
Key theoretical concepts:Fragile GovernancePeripheral Regions
Key Categories of Analysis: 1) associations and networks; 2) learning processes; and 3) leadership and conflict management
Key Variables:
1. Associations
2. Institutions
3. Networks
4. Leadership
5. Conflict Management
6. Learning Processes
Cases:
• Lurín (Peru)
• Quetzaltenango (Guatemala)
• Córdoba (Argentina)
• Arauco (Chile)
• Espírito Santo-Linhares (Brazil)
• [Mompox (Colombia)]
“Mecanismos Público-Privados para la Promoción del Desarrollo Económico Local y Regional: Una Guía para la Práctica”
Preferred to hierrachies but:
- Not always horizontal: there are power dynamics(some nodes are more important than others)
- Networks and governance can fail (e.g. Multipleactors with high rotation, dificulty to reachagreements, etc.)
In peripheral regions with fragmented networks: payattention to emerging informal processes of associationrather than trying to formalize or create cooperatives
1. Associations and networks
2. Learning Processes
EXPLICIT KNOWLEDGE
• know-what: knowledge about facts
• know-why: knowledge about cause and scientific principles
TACIT KNOWLEDGE
• know-how: knowledge about processes
• know-who: density of social networks
In peripheral regions: recognize different kinds of knowledge and learning processes
EXPLICIT KNOWLEDGE
• Technical knowledge (engineers, NGOs, government officials, etc.)
TACIT KNOWLEDGE
• Experiential knowledge (study tour, peer 2 peer, internships, etc.)
• Storytelling (peasants, artisans, etc.)
3. Leadership and Conflict Management
In peripheral regions: importance of having not only shared but also inclusive leadership (particularly women and young people)
• Not only theories about cities of the global South remain underdeveloped, also theorizing on smaller cities, both in the North and South. This includesunderstanding how local economic development work in these places.
• We not only need ‘new geographies of theory’ but also “new geographiesof translation.” The South does produce theory but in a different language. Importance of having research teams who speak multiple languages.
Fragile governance as emergent –and often informal- governanceprocesses that can promote LED but can also easily fail. An alternativeto move beyond extremely optimistic and pessimistic narratives of local institutions and development in Latin American smaller cities
Peripheral regions as an alternative to small and medium-sized cities –the theoretical tradition of this term is deeply rooted in Latin American intellectual and policy history. It emphasizes dynamic and relational processes of connection and disconnection with core areas as opposed to location or size
Some conclusions
Sergio Montero, PhDCIDER, Universidad de los Andes
@sergemont
Thank you
