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Evaluation and Understanding in Local Economic Policy

Centre for Planning, University of Strathclyde, Richmond Street, Glasgow, G1 1XN, Scotland

Recent evaluative studies of local economic policy have emphasised the measurement of policy impacts and cost-effectiveness above all else. More effort could usefully be made to understand the mechanisms by which policy effects are produced and the circumstances which condition their effectiveness. The paper outlines a simple conceptual framework to help explain in broad terms why local industrial policies are or are not effective at creating employment. The framework is illustrated with examples drawn from an initiative in London. This involved the provision of financial assistance to local firms, but did not prove very successful at creating or securing jobs, partly because circumstances were unfavourable and the problems deep-seated. The implication is that for local policies to be effective in these conditions wider-ranging and more carefully targeted interventions are required.

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