This rimes well with Tabarrock's, "There is no such thing as 'development economics'"
I think there never was (although that was my specialization in Graduate School and I think I first heard that from U Mich. Richard Porter). For any one country "getting the prices right," (this included budgeting that invests in activities with positive NPV's) especially reducing the Learner tax on exports represented by import restrictions, was about all that was needed.
That does seem like an important question -- and one that applies _within_ wealthy countries as well.
Take WA state, for example, in which the Seattle regions is the clear economic hub of the state. How should we expect the economic success of Seattle to affect the rest of the state?
Traditionally you have a lot of agriculture and timber in the state, but that's likely to fall further behind. Looking it up now, the wikipedia page for the economy of Spokane (the largest city in Eastern WA) is surprisingly informative: https://en.wikipedia.org/wiki/Economy_of_Spokane,_Washington
When I read this summary, it seems directly connected to the discussion in this post:
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The growth witnessed in the late 1970s and early 1980s was interrupted by another U.S. recession in 1981, in which silver, timber, and farm prices dropped. The period of decline for the city lasted into the 1990s and was also marked by a loss of many steady family-wage jobs in the manufacturing sector. Although this was a tough period, Spokane's economy had started to benefit from some measure of economic diversification; growing companies such as Key Tronic and other research, marketing, and assembly plants for technology companies helped lessen Spokane's dependence on natural resources.
Mining, forestry, and agribusiness continue to be important to the local and regional economy, but Spokane's economy has diversified to include other industries, including the high-tech and biotech sectors. Spokane is still trying to make the transition to a more service-oriented economy in the face of a less prominent manufacturing sector. Developing the city's strength in the medical and health sciences fields has seen some success, resulting in the expansion of the University District with University of Washington (first class in 2008) and Washington State University medical school (established 2015) branches.
This rimes well with Tabarrock's, "There is no such thing as 'development economics'"
I think there never was (although that was my specialization in Graduate School and I think I first heard that from U Mich. Richard Porter). For any one country "getting the prices right," (this included budgeting that invests in activities with positive NPV's) especially reducing the Learner tax on exports represented by import restrictions, was about all that was needed.
That does seem like an important question -- and one that applies _within_ wealthy countries as well.
Take WA state, for example, in which the Seattle regions is the clear economic hub of the state. How should we expect the economic success of Seattle to affect the rest of the state?
Traditionally you have a lot of agriculture and timber in the state, but that's likely to fall further behind. Looking it up now, the wikipedia page for the economy of Spokane (the largest city in Eastern WA) is surprisingly informative: https://en.wikipedia.org/wiki/Economy_of_Spokane,_Washington
When I read this summary, it seems directly connected to the discussion in this post:
-------------------------------------------------
The growth witnessed in the late 1970s and early 1980s was interrupted by another U.S. recession in 1981, in which silver, timber, and farm prices dropped. The period of decline for the city lasted into the 1990s and was also marked by a loss of many steady family-wage jobs in the manufacturing sector. Although this was a tough period, Spokane's economy had started to benefit from some measure of economic diversification; growing companies such as Key Tronic and other research, marketing, and assembly plants for technology companies helped lessen Spokane's dependence on natural resources.
Mining, forestry, and agribusiness continue to be important to the local and regional economy, but Spokane's economy has diversified to include other industries, including the high-tech and biotech sectors. Spokane is still trying to make the transition to a more service-oriented economy in the face of a less prominent manufacturing sector. Developing the city's strength in the medical and health sciences fields has seen some success, resulting in the expansion of the University District with University of Washington (first class in 2008) and Washington State University medical school (established 2015) branches.