HALKAS12 Institutions, Innovation and Economic Renewal (10 ...atmaso/verkkokirjasto/v/1_H12_intro.pdf · learning due to coffeehouses … to which most scholars retire and spend much

www.sotarauta.infoTwitter: @Sotarauta

HALKAS12 Institutions, Innovation and Economic Renewal (10 ECTS)

Markku Sotarauta

MDP in Administrative StudiesLocal and Regional Governance

MDP in Leadership for Change (LFC)


Why is coffee a dangerous drink?

www.sotarauta.infoTwitter: @SotarautaCase Coffee

(Juma 2016)

Why• The story of coffee shows how

new innovations coevolve with institutions that they disrupt and recreate• Wherever the drink was

introduced, upheavals followed

Innovations• Roasting, grinding, brewing,

filtering and serving the beverage

• New manners and customs

Image credit: Wikipedia Commons


From where to where From Ethiopia to the Middle East

• Ethiopiao Berries or leaves consumed,

addictive but refreshing

• Yemen qahva (early 15th century)o One of the earliest known instances

of coffee cultivationo From Yemeni monasteries to Islamic

capitals

• From Yemen to Mecca o Fears that coffee houses might

become platforms of fomentation against the authorities

Image credit: BBC

o All the coffee houses closed 1511o Universal ban against coffeeo Beans were legal, the drink noto To Cairo early 16th centuryo Constantinople in 1555, by 1570 600

coffee shops


“…the coffeehouse served as a secular forum for conversation that drew people from all

social strata, and in this capacity it was a true cultural innovation…

None of the existing social venues at the time allowed for the breadth of social discourse

that occurred in the coffeehouses”(Juma 2016)

www.sotarauta.infoTwitter: @SotarautaFrom where to where From Ethiopia to the Middle East to India to Europe

• To Europe via India and Indonesiao Dutch East India Companyo Greeted with negative social

responses, mostly inspired by local interests to protect wine, beer, ales, and other beverages

o Traders and consumers ignored bishops and priests arguing against coffee

o In Marseilles (1671) winemakers and doctors’ alliance to weaken the consumption of coffee

Image credit: AzQuotes

• Pope eased the process• Coffee subject to taxes, efforts to

monopolize it, black markets


Trivia with a message(Juma 2016)

Café au lait was invented in France in the 1700s, representing a compromise between

milk producers and coffee.

Dialogue and compromise within a society with respect to technological innovations

remains crucial.


First at Oxford University (17th century)Critics: coffee degraded academic discourse

The introduction of tea at home for the creation of new social institutions aimed at strengthening family ties. • a response to the culture of taverns that kept

drinking men from home

“the decay of study, and consequently of learning due to coffeehouses …

to which most scholars retire and spend much of the day in hearing and speaking of

news, [and] in speaking vily of their superiors.”

(Anthony Wood)

Women’s petition against coffee:“men spend their money, all for a little

base, black, thick, nasty, bitter, stinking, nauseous puddle-water.”

Coffee consumption should be prohibited for people under the age of 60 - beer and

other spirits be consumed instead.

England


“It [coffee] has been the world’s most radical drink in that its function has been

to make people think. And when the people began to think, they became dangerous to tyrants and to foes

of liberty of thought and action.”(William H. Ukers 2015)


Lessons according to Juma

1) Only after inventions have impacts on the economy and/or social life their implication becomes visible (time)

2) Opponents and supporters of new products tend not to reveal the true socioeconomic roots of their position (self-interests)

3) The balance between benefits and risks (for whom and how)

4) The use of demonization and false analogies to amplify the perception of risks (truth?)

5) Noneconomic factors play a key role in triggering tensions over new products (social learning)


“Time and time again policymakers are taken by surprise when technological (or systemic)

controversies emerge. Yet they are horribly predictable”

(Calesteous Juma)


Housekeeping


Learning outcomes• knowledge-based theories and development models

• the dynamics and challenges of institutional change related to economic development (of cities and regions)

• insights in the complex interaction between innovation, technology, institutions and economic development (of cities and regions)

• How institutions governing economic development change, and how institutional entrepreneurs work to change them

• Dominant theories and development models, as well as the emerging ones (analytical but not normative [in policy worlds, used normatively])

• What do we think and speak, when studying economic development of cities and regions


HALKAA14

HALKAS12


When• On Mondays from 14:15 to 15:45 • From January 13 to late April

o The last part is based on independent learning

• NB! No class Feb 3 (Markku in a meeting),

Feb. 24 (period break)

Where• Päät A2a

Reading1) A book

• Sotarauta, M. (2016) Leadership and the City: Power, Strategy and Networks in the Making of Knowledge Cities. Routledge; Abingdon, Oxon

• Available at the TAU Library (hard and e-copies)

2) Eight and half journal articles • Available: www.sotarauta.info

Ø TeachingØ Halkas12


Grading

Literature review based on the lectures and articles

o 60 % of the grade

Home exam based on the book and video lectures

o 40% of the grade

My thinking• Articles (8*0,5 = 4 ECTS)• The book (3 ECTS)• Video lectures (1 ECTS)• Lectures and discussions (2 ECTS)

• BUT, of course, all or nothing


Home exam1) A number of short questions (the book and video lectures)

2) An open essay (the book, video lectures and other material)o students are asked to select a specific city or region of their own choice

and then relate its economic renewal to a number of more specific issues that have been taken up in the book and other material

Will be handed out March 30, deadline is April 9


• Everybody will write a literature review drawing on the journal articles (in English)

• Dead-line for submitting literature reviews is April 30

• Literature reviews will be sent to [email protected] in pdf-format

• The required minimum length of a literature review is 3000 words (appr. 7-8 pages)

• What is a literature review and how to write a good one – check the website

Start early – start today

A literature review • shows your reader that you have read the

articles and have a good grasp of them• reports your view of the articles• is an overview of the subject, issue or

theory under consideration• discusses similarities and differences

across the articles

http://tuni.fi


Themes and concepts


“Explaining the growth and change of regions and cities is one of the great challenges for social science.

Cities or regions, like any other geographical scale of the economic system, have complex economic

development processes that are shaped by an almost infinite range of forces.

There is a thorny question as to what social science should aim to do in the face of such complexity.”

(Storper 2011)


Based on an

ongoing and

past research

Theory

CasesPolicy / practice

ThinkingThe process of considering or

reasoning about something


Core questions of urban and regional studies(Storper 2013)

• Why do some regions grow while the others decline?

• What differentiates regions that are able to sustain growth from those that are not?

• Why are some regions more productive and/or innovative than others?

• What are the principal regularities in urban and regional growth?

• What are the events and processes that affect development pathways?


Path development

Economic renewal and institutions as discussed in HALKAS12

Institutions

Structure Agency

Place leadership

Institutional entrepreneurship

Innovation (eco)system

Agglomeration economies,

cluster

Knowledge production and utilisation Strategy


Book

Articles

Class

Videos

Territorial knowledge dynamics (dynamics of the game)

Path development(time)

Innovation (eco)system / cluster(knowledge structures)

Institution (rules of the game, playground)

Institutional entrepreneurship (transformative players)

Strategy (way of playing the game)

Leadership (transformative, mobilizing and pooling force)


Book

Articles

Class

Videos









Book

Articles

Class

Videos









Book

Articles

Class

VideosPath development

(time)








Book

Articles

Class


(time)








Book

Articles

Class


(time)







Writing,learning(and 10 ects)


Articles

Edler, J & Fagerberg, J. 2017. Innovation Policy: What, Why & How. Oxford Review of Economic Policy, 33(1) 2-23

Engel, J.S. 2015. Global Clusters of Innovation: Lessons from Silicon Valley. California management review 57(2) AND Video: Animated timeline of Silicon Valley (3:52)

Morgan, K. 2017. Nurturing novelty: Regional innovation policy in the age of smart specialisation. Environment and Planning C: Politics and Space, 35(4) 569–583

Kurikka, H., Kolehmainen, J. & Sotarauta, M. 2018. Constructing Regional Resilience in a Knowledge Economy Crisis: TheCase of the Nokia-led ICT Industry. In Benneworth, P. (ed.) Universities and Regional Economic Development: Engaging withthe Periphery. Routledge; Abingdon, Oxon.

Asheim, B. Boschma, R. & Cooke, P. 2011. Constructing Regional Advantage: Platform Policies Based on Related Variety and Differentiated Knowledge Bases, Regional Studies, 45:7, 893-904

Dawley, S. 2014. Creating New Paths? Offshore Wind, Policy Activism, and Peripheral Region Development. Economic Geography, 90(1) 91-112

Hu, X. & Hassink, R. 2017. Place Leadership with Chinese Characteristics? A Case Study of the Zaozhuang Coal-mining Region in Transition. Regional Studies, 51(2)

Benneworth et al. 2016. Strategic agency and institutional change: Investigating the role of universities in regional innovation systems. Regional Studies, 51(2)

Kinossian, N. 2019. Agents of change in peripheral regions. Baltic Worlds 2019, vol. XII:2


• Knowledge-based development of cities

• Governance and influence networks• Power and influence• Leadership• Strategy

• Munich, Barcelona, Leeds, Tampere, Helsinki, Seinäjoki


Controversies often arise from tensions between the need to innovate and the pressure to maintain

continuity, social order, and stability(Juma 2016)


Development = the process of economic and social transformation that is based on complex cultural and environmental factors and their interactions

o Something is getting bettero Value-based concept

To start with

Renewal = the replacement or repair of something

o the state of being made new, fresh, or strong again

“The quickest way to find out who your enemies are is to try doing something new”

(Calesteous Juma)

Documents

HALKAS12 Institutions, Innovation and Economic Renewal (10 ...atmaso/verkkokirjasto/v/1_H12_intro.pdf · learning due to coffeehouses … to which most scholars retire and spend much