Monday 13 October 2014

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They conclude that with the change of the economic tide policy attention has shifted from influencing relocations to stimulating other components of economic change especially new firms birth and growth. In this respect new concepts were developed such as the seedbed or incubator functions of regions. The work of David Birch 1979 who showed that in the US a massive growth of interest of both researchers and policy makers in the where and how of new firm packers and movers pune and movers and packers pune creation. Small and medium sized firm and especially newly established firms created unexpected rate of employment growth lead to
The dominant theory about the relationship between firm birth and location at that time being the incubation hypothesis Hoover and Vernon 1962, Leone and Struyck 1976 it is not surprising to see that the interest in new firms of the late 1970s and early 1980s coincides with interest in cities. The core urban regions of the country were increasingly viewed as the engines of economic growth and less attention was given to redistribution policies.
Despite this change of atmosphere as observed by Klaassen and Molle it cannot be denied that for many regions firm relocation has contributed considerably to employment growth. In the previous paragraph we already referred to studies which show that in the UK a considerable part of total employment in regions such as Cornwall, Devon and Wales is to be found in immigrant firms.
 For the Netherlands comparable results are reported for a number of regions varying in size and peripherality but here the figures are more modest than in the UK. Parts of the provinces of Overijssel and North Braband reach a percentage of 10% of industrial employment due to firm immigration over a post- war period of 25 years pellenbarg 1985 which is considerably less than the 25-30% reported for Cornwall Devon and Wales.
A final observation from the collection of research notes in Klaassen and Molle’s book is that several of the authors reveal an increasing criticism regarding the reliability of research results concerning migration motives. Especially Aydalot and also Bade are very explicit on this issue. They refer to the many reasons why data from enquiries and interviews will not reflect reality: job mobility of decision makers memory problems, rationalization of choices inconsistency between stated and revealed preferences, disability to differentiate between factor influences on different geographical scales, etceteras. Pellenbarg 1985 has demonstrated a strong difference between actual and perceived location qualities in firm relocation processes quite clearly for the Netherlands.
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