Abstract

The article examines the features of local economic development of united territorial communities, in particular in developed countries. It is established that local economic development has passed certain stages of formation, they are characterized. The evolution of local economic development shows that the development of communities should be aimed at achieving sustainability – the balance of the three components of economic, social and environmental. The authors note that under the influence of globalization factors, the formation of local economic development is still taking place. Approaches to determining local economic development are analyzed. The characteristic features of local economic development are highlighted: dynamic process, not state; it takes into account the principle of partnership between government, community and business structures; depends on the activities of the community (or several communities) united one goal; the driving force of community development is the economy; the goal of local economic development is to meet the existing urgent needs of the community, as well as to increase the level and quality of its life, etc. The peculiarities of the modern model of local economic growth in the developed countries of the world are studied. Emphasis is placed on the fact that the modern model of local economic development is based on the relationship and interaction of knowledge and intelligence capital, linking a triad of concepts such as «globalization-innovation-competitiveness». The authors argue that the main goals of local development are the preservation and further expansion of local enterprises, creating favorable conditions for investment, innovation, human resources and human capital, the formation of cash flows in the community and more. The complexity and diversity of local economic development is due to the fact that this process requires a large number of specialists from different spheres, to promote consensus on issues in dialogue with them, to take into account their views in decision-making on territorial community development. It is established that in the context of globalization, each community must build its own flexible development strategy using effective tools and mechanisms of influence.

Full Text
Published version (Free)

Talk to us

Join us for a 30 min session where you can share your feedback and ask us any queries you have

Schedule a call