Projekt: Inside the Black Box of Regional Development: Human Capital, the Creative Class and Tolerance

What really drives economic development? It is complex question, so it is not
surprising that lots of opinions and answers have been offered. If you ask the typical
person on the street, they will tell you the key is jobs. Seems to jibe with common
sense: When a place attracts new jobs, more wealth and other good things follow.
This conventional wisdom is the backbone of a good deal of economic development
policy, as economic developers scramble to lure companies to their towns. Others say
technology is key. Pointing out places like Silicon Valley, they say success lies in a
high-tech cluster of great research universities, abundant venture capital and
entrepreneurial startup companies. But according to current thinking and research in
economics, geography and social science broadly, the underlying driver of economic
development is highly skilled and educated people - what some call talent and what
economists and social scientists frequently refer to as human capital. Places that have
more of it thrive, while those with less stagnate or decline.