INNOVATION-ORIENTED LAND-USE POLICY AT THE SUB-NATIONAL LEVEL: CASE STUDY GERMANY

Peter Friedrich () and Chang Woon Nam

No 84, University of Tartu - Faculty of Economics and Business Administration Working Paper Series from Faculty of Economics and Business Administration, University of Tartu (Estonia)

Abstract: This study investigates major features of land-use strategies that German municipalities have adopted to attract innovative firms (IFs). In this context a two-stage competition model is introduced: firstly a municipality should solve economic and interest conflicts related to its preference for high-quality sites for IFs against the land needs of simple manufacturers. The second part of the model describes location competition among municipalities with high-quality sites for the location of IFs. German municipal land-use policy is well combined with industrial policy; this paper reveals the strengths and weaknesses of the urban real estate market in Potsdam, and its future opportunities and risks as the location of different economic activities are determined in the planning process. Science Park Adlershof (Berlin) is an output of the spatial-oriented technology policy, which creates incubators for innovative SMEs. Municipalities also cooperate, since it provides larger sites, generates economies of scale and contributes to a smooth suburbanisation process (see Leipzig).

Keywords: Land-use Policy; Municipal Regional Competition; Two-stage Competition Model; Zoning; Technology Park (search for similar items in EconPapers)
JEL-codes: H42 H54 L3 O18 O3 R14 R52 R58 (search for similar items in EconPapers)
Pages: 24 pages
Date: 2011
New Economics Papers: this item is included in nep-cse, nep-geo, nep-ino and nep-ure
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (3)

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