Globalization and the Rural Economy

1
Globalization and the Rural Economy

• Stan Johnson
• Vice Provost for Extension
• Iowa State University
• Rural Community Vitalization
• in a Global Economy
• University of Minnesota
• September 13-14, 2002

2
Past Approaches to Rural Development

• Jeffersonian Policies
• Industry Policy
• - Agriculture
• - Manufacturing
• Technical Assistance/Leadership
• Are These Really Locality Specific Policies?

3
Features of Globalization

• Openness
• Mobility
• Specialization
• Choice

4
Differentiation

• How Are Places/Products Different?
• Development and Differentiation
• What are Unique Attributes?
• Amenities and Market Failures
• Efficiency and Public Services
• A New Role for Government

5
Strategic Behavior

• Positioning Areas
• Emphasize the Unique Features
• Uncertainty and Risk Taking
• Mechanisms for Differentiation
• Compatible Incentives

6
Sources of Differentiation

• Product/Community Traits
• History
• Attributes/Attitudes
• Perceptions

7
A New Framework Rural Development

• Lifestyle and Community
• Localized Market Failure
• Grass Roots Orientation
• Partnerships
• Not One Size Fits All
• Goal Setting
• Strategic Behavior