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  • The depressed territories: phase sublimation model (concept, hypothesis and research programs)

The depressed territories: phase sublimation model (concept, hypothesis and research programs)

TERRA ECONOMICUS, , Vol. 11 (no. 1.3),
p. 75-85

Reviewing perspectives for revitalization of depressed territories, authors criticize the conventional governmental and municipal practical approaches for rehabilitation of depressed territories. Most of these approaches are based on the injections of budget resources into development of disadvantaged regions. By focusing on endogenous sources of the regional development, authors carefully draw the model outlines, picturing households as the main driving force capable of providing the energy impulse for pulling the municipality out of depression. The purpose lending to households is suggested to be considered as a separate element of the model. This type of lending should simultaneously trigger income increase and expenses decrease of a household; at the same time it should serve as the off-budget source of local economical development programs implementation. In addition, authors raise the question of building the management contour of the model and define the role of local authorities whose activities should result in intensification of identified sources of development and in consolidation of the interested parties’ resources.

Keywords: the depressed territories; governmental regulation of the socio-economic development; households finance; social-effective lending; community initiatives; local authorities

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Publisher: Southern Federal University
Founder: Southern Federal University
ISSN: 2073-6606