The transformed municipality – Economic and social growth in Örnsköldsvik 1997-2007

Author: Kristina Hansson

This thesis focuses on the economic and social growth in the municipality of Örnsköldsvik. It is a single case study and the municipality is studied through economic theories concerning regional growth in the period of 1997-2007. The aim is to analyse whether these theories, such as Åke E. Anderssons and Ulf Strömquists K-society, and other more or less microeconomic assumptions, also are applicable in smaller local contexts. The aim is fulfilled through a mix of text analyses, interviews with leading politicians, civil servants and executives, together with definitions of several quantitative characteristics of economic and social growth. Alternative theories in the thesis concern identity, trust and social capital. Seven independent variables are studied: infrastructure, economic and commercial policy, steering by goals, streamlining, public purchase, marketing and higher education. The results show that while Örnsköldsvik has experienced an extraordinary economic growth, the social growth lags behind. The conclusion is therefore, that economic theories are not enough to explain both economic and social growth at the municipality level. This strengthens the assumption that the explanation to municipal growth in reality lays in the local forces.

Keywords: structural change, local growth, municipal taxes, public- private cooperation, state-subsidized stimulating measures