Abstract

If the value judgements of East German firms on the quality of the economic policy of their municipality (which can be interpreted as “customer satisfaction”) are reflected in figures on the economic policy activities of the municipalities that have been obtained partly from original surveys and partly from official statistics with the aid of multivariate statistical procedures, it becomes clear that the recipe for success in municipal economic policy in East Germany in the period after 1995 was no purely competition-oriented economic policy based on entrepreneurial competition, but rather a balanced mix of traditional (consulting, real-estate policy, infrastructure investments) and modern bundles of measures (city marketing, administrative modernisation, inter-municipal co-operation, public-private partnership). Together these successful activities of municipal economic policy make a noticeable contribution to the local growth of employment (“local policies matter”).

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