Demand Side Approaches to Local Economic Development
Rural economies have a very low demand level for most products and services today. There are few people in such areas, and the few businesses that there are very specialized. Of all the businesses, agribusiness has the greatest call for local suppliers, as industries such as mining tend to be supplied for outside the region. The traditional view that outside demand drives the region is true as far as it goes, but because supplies come in from outside, such export activity is not "propulsive" to the local economy. That is, export activity does not drive the development of local linkages needed to generate the multiplier effect on money generated.
One good example of demand based activity being used to develop the local economy was the Rural Development Institute in Brandon assembling list of wood product users and wood product suppliers and giving each the list of the other group. Though only a niche market in the Westman area, it helped those in the industry to work to capacity.
Links To Further Resources
navigation