Values and preferences of a younger generation shaped by new opportunities as well as some social hardships brought about by economic reforms have resulted in a rapid decline of family formation. Barcelona is widely regarded as a model of successful tourist-based urban regeneration. The magnitude and speed at which de-industrialization is experienced shapes its impact and the potential for adaptation in localities and regions. The main outcomes of these systemic government-controlled transformations were new societal rules based on democratic policymaking and market-economy principles, a vast number of new private actors and owners, and an openness of local economic systems to international economic forces. Practically, the definition of scale depends on the internal homogeneity and identity from an economic, social, and cultural perspective and external differentiation, in comparison with external areas. The Thames Gateway is becoming a laboratory for putting theories on urban renaissance into practice. Local development cases were usually induced through spontaneous organization (this specifically implies bottom-up processes) but, at the same time, often benefited from the capability of introducing specific forms of social regulation and models of economic coordination. and involves coordinating many municipal services. L. Skora, in International Encyclopedia of Human Geography, 2009. The schema acknowledges that capital moves in three ways: from money to production to commodities (the circuit of production); through their sale at a profit, commodities are realized as money capital (the circuit of realization); money capital is reinvested in expanded production so that capital accumulation takes place (the circuit of reproduction). The Limits to Capital. Rational economic factors responding to signals through the market adjustment mechanism will therefore shift investment resources, output, and jobs into activities where demand exists. Industry includes mining, manufacturing (columns 67), construction, electricity, water, and gas. Urban renewal invites us to consider the city on many levels (on the level of the city, district, project, etc.) Many of these services later decentralized to out-of-center locations and business parks at the city outskirts. The path of capital flow.
Two cities that exemplify the increasing importance of urban tourism are Birmingham in the UK and Barcelona in northern Spain. However, paradoxically, the definition of integrated urban projects does not induce stakeholders to take account of floods. Many became the focus for the riots that threatened, in the autumn of 2005, a rerun of 1968 in which the protagonists were ethnic minority youth rather than disaffected students. A highly uneven balance between Western and domestic actors represented by capital and access to Western resources was further exacerbated with policies and measures favoring capital-strong foreign enterprises. It is common for the media to talk about both of these cities in terms of an apparent transformation since the mid-1980s. Despite the strong role of local socialist legacies, power to shape future lies in the hands of actors operating in the global market place.
The diagram, though depicting relationships in abstract, provided one strategy for bridging globallocal and analyzing the complexities of corporations in very different ways, and visualizing how globalization as a political project was opening up new prospects of accumulation by all fractions of capital. Restructuring formerly state-owned manufacturing industry has generated de-industrialization as firms are rationalized and sometimes closed in a bid to strip out the profitable activities in the context of increased exposure to competitive external markets. What do we mean by de-industrialization? What is left of manufacturing will be the most technologically innovative and productive that can compete internationally. R. Le Heron, in International Encyclopedia of Human Geography, 2009. Changes in employment (%) and per capita income over time by sector. Second, drawing upon the orthodox economic theory of comparative economic specialization and the benefits of trade, the trade specialization thesis emphasizes how places specialize in economic activities where they hold a comparative advantage against other places due to their economic assets and capabilities. In this way, firms can still access high value and lucrative advanced country markets and bypass any tariff or nontariff barriers to trade on imported, fully assembled goods by importing components and subassemblies manufactured more competitively elsewhere. The conscious positioning of local culture alongside urban regeneration was crucial in gaining public support for the catalyst event, the hosting of the 1992 Olympic Games in the city. Crucially, it is often not that manufacturing is not profitable. These examples illustrate the heightened recognition among local officials and policy makers of the significance of tourism to urban development. Prior to the 1980s it was rare for policy makers, local authorities, or commercial interests in urban areas, apart from specially developed tourist resorts or those with long traditions of tourism, to recognize tourism as a significant economic activity, either actual or potential. Whilst there is also a very limited number of positive impacts, if urban managers are serious about environmental and social sustainability then the rights to develop gated communities must be questioned. The internal urban transformations have often been left to the operation of free market still partially bound within the framework of traditional, rigid, physical planning instruments. As economies develop through this model, they evolve into more advanced forms of economic activity. The pursuit of cultural, and to a lesser extent business, tourism was in part a reaction to the negative impacts of mass beach tourism in surrounding resorts, in part a way of addressing the economic problems stemming from the citys de-industrialization, and a recognition of the growing significance of these sectors of the world tourism market. Economic geographers working in the rapidly restructuring settings of Australia and New Zealand sought to show how particular episodes of restructuring were implicated in and constitutive of new expressions of capital circulation. The Thames Gateway aims for the rebirth of entire sections of urban London in districts characterized by deindustrialization, insecurity and unemployment, by transforming 38,000 hectares of brownfield into new pillars of development. In France, the construction of grands ensembles on the outskirts of major cities to replace the bidonvilles originally thrown up by first-generation immigrants from North Africa rapidly became ethnic ghettoes of the dispossessed. The model of tourism based on urban regeneration pioneered by Baltimore in the USA, who in the late 1970s redeveloped an extensive area of its derelict Inner Harbor by creating a number of leisure attractions, museums, a convention center, hotels, a festival shopping center, and later sports stadiums, became a blueprint adopted by many cities internationally. They develop new products (management/organizational ideas, marketing concepts, etc.) Economic restructuring involves de-industrialization and tertiarization. Cities across both the developed and the developing worlds are undergoing seemingly constant social, economic and physical transformation. In North America the focus has been on the private sector and fiscal incentives which have, in effect, made gentrification the chosen tool to turn around the many failing cities. De-industrialization, then, is interpreted as a direct consequence of the evolution and stage of maturity of the economy.
While apparently sharing many similarities with Birmingham, in that it has targeted cultural and business tourists through flagship developments, Barcelona has adopted a somewhat different approach to the development of its urban tourist economy. An ongoing research project at the University of Queensland has been seeking to establish the impact of the gating of suburban estates on the travel behaviour of residents. For orthodox neoclassical economic geographers, failure to grow or even sustain market share is interpreted as a clear market signal that demand is not present or sufficient for the goods that manufacturers in a particular place are producing. For the most part, this has relied on cities, city regions, and regional governments working in close partnership; Barcelona and Bilbao provide examples of cities which successfully leveraged funds out of both the central government and the European Union for ambitious schemes to transform themselves into centers of postindustrial production. They included democratic elections at all government levels and the decentralization of power to local governments. French urban policy has struggled to regenerate these areas particularly in recent years when successive interior ministers have proclaimed a willingness to get tough so as not to be outflanked on the right by the fascist Front National led by Jean Marie Le Pen which notoriously came second in the presidential election of 2002. ScienceDirect is a registered trademark of Elsevier B.V. ScienceDirect is a registered trademark of Elsevier B.V. International Encyclopedia of Human Geography. Source: Calculated from UNCTAD Statistical Database. They started to apply more sophisticated tools, such as strategic planning. The strategy was to devise a schema (Figure 3) to illustrate how capital circulation could be simultaneously examined as internationalization, as impacting on capital-centered organizations and as reworking established capitalcapital, capitallabor, and capitalstate relationships. However, the size of the stakes is quite different if new development projects are taken into account. Central to these alterations are the activities of a group of business service professionals: management gurus and management consultants. The maturity thesis has strong roots in the FisherClark theory of economic evolution and Daniel Bell's postindustrialism thesis. Geographical and historical contexts and conditions matter. This is not simply a function of Anglocentricity on the part of the author but reflects the unique way in which de-industrialization, the state, and urban policy came together in the context of the need to rebuild Britain's cities in the aftermath of their destruction during World War II. The agency of institutions and people in localities and regions means the outcomes are more contingent with potentially multiple pathways of adaptation, including possible reversals and stasis. Alterations in the economic system are the result of a series of unrelated and related changes made by independent private and public sector organizations. Falling demand for output and labor can generate de-industrialization. This left the remaining urban places to struggle for foreign direct investments in manufacturing that would bring reindustrialization and jobs for local population.
The circuit of realization was internationalized early as foreign trade. The market principles of resource allocation and the growing exposure to an international economy formed conditions for the development of spontaneous societal transformations of economic, social, and cultural environments. In the late nineteenth century foreign investment poured into colonies of European powers. This novelty was neither the consequence of capital mobility from developed regions nor the replication of previous models of production organizations. Another key measure of de-industrialization is trade competitiveness. As depicted in the growth of output in East Asia and the Pacific (Table 1), the geographical locus of manufacturing specialization has shifted internationally from West to East in recent decades as part of the new international division of labor. Politicians perceived the state as the root of principal harms to society and the economy in particular. Urban change has been especially influenced by internationalization and globalization, economic restructuring in terms of de-industrialization and the growth of producer services, increasing social differentiation, new modes of postmodern culture, and neoliberal political practices. However, the real pragmatic politics mixed neoliberal ideology with attempts to keep social peace through retaining some socialist regulations in operation. and sell them to clients, and this can have a major impact on the local and increasingly international organization of capitalist activities. The decisions of both the central government as well as local politicians were grounded in a neoliberal ideology, which saw free, unregulated market as the mechanism of allocation of resources that would generate a wealthy, economically efficient, and socially just society. That reconstruction, as we have recounted, rapidly became overshadowed by wider events: the declining competitiveness of Britain's industrial production compared to other countries in Western Europe and Japan, the developing economic crisis of the 1970s, and the growth of urban deprivation and social exclusion. Manufacturing will be leaner and fitter having shed its inefficient parts. T. Butler, in International Encyclopedia of Human Geography, 2009. In other words, this process was not the consequence of simplistic regional reorganization due to market forces which reacted to different relative prices. Economic change mediated through labor markets was expressed in growing wage and income disparities. Most business service firms are orientated to national markets and this reflects the importance of small firms in this sector. It is a highly complex process that reformulates existing and creates new structures. Nevertheless, only France and the Netherlands have had longstanding national policies on urban regeneration and like Britain both were largely a response to large-scale immigration into what were previously ethnically cohesive cities. While one might dispute the substance of such journalistic claims, it is impossible to deny the role of tourism in fueling the changes that have occurred within both cities. For some, what is at issue is not whether de-industrialization is occurring but whether it is occurring fast enough to shift economic resources from outdated and uncompetitive industrial sectors into new and more advanced economic activities a process Joseph Schumpeter described as creative destruction. There is also evidence of economic diversification within the citys economy associated with its growing tourist economy as well as less tangible positive impacts on civic pride and the citys image. Compared with earlier experiments in urban regeneration carried out in Great Britain, the novelty lies in the fact that the scale of reflection and action is no longer a limited area. While previous research by the author (Burke and Sebaly, 2001) has detailed more technical findings, the concern for the purposes of this chapter was to summarise research findings as they relate to pedestrians as a whole and to identify, in part, how they may be ameliorated by proactive urban management, even in jurisdictions where gated communities are deemed acceptable urban developments. We use cookies to help provide and enhance our service and tailor content and ads. Such geographically variable experience supports critics who argue that economic change does not follow the inevitable, linear, and singular route suggested by the maturity thesis. Oxford: Blackwell, Figure 12.1 The path of capital flow, p 408. Additionally, although the risk is slight, the impacts of flooding would be considerable, as the stakes are significant and likely to increase with urban renewal projects. The local development approach recognizes, in fact, both the opportunity for different paths of development (e.g., based on small firms and systems of small firms, like industrial districts) and the role of local actors in managing the use of their resources, through the introduction of specific strategies. This, and subsequent initiatives, saw massive infrastructural improvements throughout the city, numerous major landscaping projects, and the provision of a number of new cultural facilities such as the Museum of Contemporary Art, Barcelona. In some countries, immigrants formed the bottom tier of the socioeconomic hierarchy. There is no denying the impacts on the physical and cultural infrastructure of the city and its tourist economy. Business services played an important role in the development of Fordism through the activities of F. W. Taylor, the American management guru and consultant, and more recently in encouraging clients to introduce e-commerce, outsourcing, and offshoring into their business models. Economic decline that was caused by de-industrialization and the development of consumer services, particularly retail which offers low-paid jobs affected most cities. John R. Bryson, in International Encyclopedia of Human Geography, 2009. Some critics have accused Birmingham of what Greg Richards (1996) called a tendency for culture to be produced for tourist consumption. In the context of the increasing dominance of the international financial system in shaping access to investment capital, financial institutions have grown in sophistication and in their ability to assess potential returns on capital among parcels of economic activities competing for investment funds. Declines in output and/or employment de-industrialization can result. The regeneration of the city has led to a significant increase in tourist spending within Birmingham. It has also estimated that providing insurance cover for new housing situated behind the levees would cost insurers 26 million pounds, but that could reach 195 million pounds if the sea level rises by 40cm. London played a crucial role in these international circuits a century ago. T. Hall, in International Encyclopedia of Human Geography, 2009. The income inequality was reflected in the reemergence of pre-socialist patterns of residential differentiation, the establishment of new enclaves of affluent population, as well as segregated districts of socially excluded. The chapter is organised as follows. When considering de-industrialization as a particular process of change the scale is important how much has output, employment, or exports fallen as well as the rate at which any declines have occurred. Figure 2 illustrates the dramatic growth in the value of merchandise exports from the early 1980s in the newly industrializing countries (NICs) in Central and Latin America and Asia, especially China. The scale of local development both for the analysis and for the construction of local strategies could vary in consideration of different economic and social features (including density of population) and historical background of different localities. Various national forms of social security systems mitigated some of the social hardships of economic restructuring. The systemic government-controlled reforms aimed to establish a capitalist system based on a pluralist democracy and a market economy, and to integrate countries into international political and economic systems.
Before flood defenses were constructed and before the Thames Gateway project, it was estimated that 15% of Londons population were exposed to centennial floods. Birminghams regeneration, initiated in the mid-1980s, included the building of a convention center, opened in 1991 at the cost of 180 million, largely financed through public funding, and associated hotel developments, extensive redevelopment of its central area, and subsequently a major retail redevelopment. Shopping centers use visual features and various forms of entertainment to attract consumers, and transnational corporations highlight their presence in the urban structure. The new industrial regions are usually the consequence of a dialectic process between market opportunities, mobilization of existing (often unused or badly used) resources, knowledge and learning, and new forms of production organization. The economic crisis and the de-industrialization of some of the first comers industrial and well-developed regions were coupled with the rise of new regions within the international division of labor and trade relationships. According to the Association of British Insurers (ABI), 91% of projected new housing is situated in zones at risk of flooding [ASS 05]. Then the new democratic governments focused on transformations of economic system, the main pillars of which included the privatization of state assets, the liberalization of prices, and free foreign trade relations. Retail and tourist facilities in attractive places brought new bright consumption landscapes to city centers followed by later massive expansion of malls and big boxes in outer-city areas. Gated communities, observable in a variety of sizes and styles, are becoming highly visible in many British, French, American (North, South and Central), African, Asian and Australasian cities and are considered to be a global phenomenon. This reveals the degree of specialization in export-led manufacturing in these countries and intensified competition in export and domestic markets for manufacturers in the historically industrialized countries. Smokestack manufacturing industries typically characterized as heavy engineering, shipbuilding, steel, and textiles are left behind as the economy develops. Business services add value to their clients by providing operational and strategic inputs. For example, it has been estimated that the 1998 International Rotary Meeting held at the International Convention Center attracted 23000 delegates resulting in spending of almost 20 million in the city during the meeting, much of which remained in the local market. Producer services concentrated in expanding city cores of major centers and contributed to their rapid commercialization. Figure 1 depicts this theory in terms of changes in employment and per capita income as part of a transition between sectors through time. Their realization was a necessary precondition for spontaneous transformations to take place. Given that over eight million people were already thought to be living in such communities in the United States by 1997 (Blakely and Snyder, 1997:85) Ballards statements in the above quote are plainly not ridiculous. This has been a largely British-focused article whereas urban regeneration (like its sibling gentrification) has now become an increasingly global phenomenon. Figure 1. Figure 3. Copyright 2022 Elsevier B.V. or its licensors or contributors. In response, firms attempt to adapt their economic activities, not always successfully, to changes in markets and among competitors. G. Garofoli, in International Encyclopedia of Human Geography, 2009. When the great urban areas are excluded, local development strategies are introduced in areas with a population range between 30000 and 200000 people. Julie Hernandez, Stphanie Beucher, in Resilience Imperative, 2015. However, the coincidence of widespread de-industrialization of urban economies in the older industrialized countries and the steady growth of world tourism saw an increasing range of urban areas exploring the potential of tourism as a way to address the interrelated problems of economy, image, and environment. Through this research the gates and walls have been found to have a series of negative impacts on pedestrian behaviour. In most post-socialist countries, the basic reforms of the political system were achieved in the first months and years after the collapse of communism. At all times in capitalist history internationalization of capital has been central to the accumulation process. However, after the first decade of transition, many urban governments learned new techniques of urban management and governance. This focuses on the relative share of international markets held by manufacturing exports from particular countries and regions. The local transition was necessary to link local societies to the capitalist world. Transition consists of multiple transformation processes that are related in certain time sequence, address universal or more specific areas, and include both the political application of normative concepts as well as spontaneously proceeding societal changes within (re)established market environment. In the first years of the transition, systemic changes in political and economic systems played the leading role. Britain's early, large scale, and intense experience of de-industrialization in the late 1970s and early 1980s, for example, has been explained by some in terms of a particular British disease comprising weak management, short-term investment, poor quality, low productivity, inability to compete with exports from the NICs, and militant industrial relations. Large-scale privatization has occurred as part of the transition to mixed economies of market and state, resulting in huge-scale de-industrialization and the loss of thousands of jobs. Privatization of manufacturing has been an important cause of de-industrialization especially in strategic industrial sectors such as defence, including aerospace and shipbuilding, and steel. New conditions allowed for the development of a greater plurality of values, a tendency toward individualism and promotion of self-interests. Developed market economies have been experiencing a process of structural change over the last two decades that has involved two related alterations. Despite growing research into gated communities there has been little attention given to what influence they are having on urban life and, in particular, on the behaviour of those who live within them. Foreign managers and high-salary employees of foreign companies formed a specific segment of the demand on the high-income housing market. A distinction is drawn between absolute declines in output and employment and relative declines in the proportion or share of manufacturing in total output and employment. Urban planning was perceived as contradictory to the market. Private firms use cultural strategies to sell themselves, strengthen their influence and competitiveness, and demonstrate their pride and power. a$m unadjusted values. At its most basic level, de-industrialization refers to the contraction and decline of the weight of manufacturing industry within an economy. De-industrialisation and shifts in the mode of production in the West have led to dramatic changes in fortunes for formerly prosperous urban regions and, as traditional elements of the city have begun to disappear, new ones have materialised. Geographers quickly spotted de-industrialization, redundant spaces, and job loss in national economies, but it was not until the mid-1990s that the significance of restructuring was addressed in theoretical terms that tied back into capital circulation. Local economic systems were integrated into the global economy in a highly uneven manner with capital cities ranking well among major global centers, successful regions providing cheaper and well-skilled labor to routine production within the global assembly line, and peripheries waiting with the mixture of hope and depression. These were a response to the de-industrialization of its predominantly manufacturing economy in the late 1970s and early 1980s, which saw over 300000 jobs lost in the city between 1980 and 1982. Smith's claim that gentrification is now the preferred model for rolled out neoliberalism would appear increasingly justified.