Economic Development: Form and Function Lost On Politicians

There is a constant resonating buzz about economic development across the country. The current political representatives, whether local, provincial, or national, bombard the local constituencies with grandiose visions of what economic development is and how it can be achieved. Unfortunately, they are either uninformed, naive, or politically pandering to the local population. Whatever the case, they have no understanding of economic development in form or function. 

So what is economic development? Economic development is not attracting new business, it's not creating jobs, and it isn't developing an industry strategy. These can be the spin-offs of economic development but they are not economic development.

Economic development is a process; it isn't a result. Economic development is the ongoing process of working with the pillars of the community to create economic opportunities. It is about bringing together business, government, education, and social agencies for long term sustainability.  It is a process with purpose. That purpose is to influence the patterns of growth, decline and restructuring of economic activity to meet the community’s needs and objectives more effectively. 

Economic development is a self-help initiative that is a community driven process that takes place over years. It takes full time management that involves incremental change. It is guided by a strategic planning process that includes the participation of a broad range of community interests. It must have a comprehensive approach; that is, it must include the economic, social, cultural, physical, ecological values of the community. More than this, though it must expand and enhance local leadership capacity. 

Rather than focussing on the next big trend or attempting to create an industry where the community does not have the necessary expertise, competitive advantage, or infrastructure, economic development is about building on the existing capacity of the individual, organizations, community, and institutions for sustainability. Being a sustainable community means gaining economic self-reliance, becoming ecologically sustainable, empowering community members to make decisions affecting their community, workplace, and daily lives, and meeting the needs of the individual citizen.  

Economic development requires a community based, community focussed, and community involved planning process that is supported by the core pillars of the community: local business, government, educational institutions, and social agencies.