Urban & Regional Economics (RPK351) Semester 1, Academic Session 2012/2013

TOPIC: TOPIC: REGIONAL INEQUALITY & URBAN DEVELOPMENT POLICY REGIONAL INEQUALITY & URBAN DEVELOPMENT POLICY

Dr.Norazmawati Md.Sani @ Abd.Rahim (Dr.Nora)E08/102B

04-6533161norazmawati@usm.my

http://drnorazmawati.blogspot.com4 Disember 2012 1

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CONTENT1. Regional Development Issues

2. Regional Inequality3. Pattern of Regional Inequality

4. Effected Factors of Regional Inequality5. What Is Stability of Urban Development?

6. Main Aspect of Regional Development Stability 7. Regional Development Strategy

8. Urban Development Policy9. Element In Urban Development Policy

10. Roles Of Federation Government In Urban Development Issues11. Government Roles In National Development Policy

12. Basic Government Roles In Urban Management13. Sustainable Development

14. Aim Of Sustainable Development15. Sustainable Development Approaches

16. Conclusions

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Unemployment

Metropolitan Urban Area

Decline Area

Distribute Sources

For Development

Regional Inequality

Regional Development

Issues

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Regional Inequality

Detect development problem. Caused ; colonist governance effect.

Williamson (1965) agreed; increased 1st stage of development:

Labour migration.Capital = decline area to develop area.Government action.Limited spread effect because lack of regional relation.

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How to detect development problem?VIDEO 1VIDEO 1

How to solve regional inequality?

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< choice of migration, Labour market & capital; >

perfect, Government practice policy;

support decline regional.

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Stable regional development = Main objective of Country development (9th MP).

Action ; reduce regional inequality. Regional & state. > focus

> activated

Regional Inequality…..continued

Urban & rural area.

Activity; increase income & quality of life.

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Types of Regional Inequality

Ethnic Urban & Rural Geography Area

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Pattern of Regional InequalityDecrease = 1st decade execute New Economic Policy

(NEP)

Increase ; last year NEP

Shows: < effectiveness of government effort. None integrations & country physical in

economic development at a 1st development stage.

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Effected Factors of Regional Inequality

Geography Colonization

Economic Structure

SocialSpatial

(distribute sources)

Income Work Wealth

Original Sources

Climate

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What Is Stability of Urban Development? Part of important strategy to integrate economy system.

Achieved through < differences between regional. Benefit ;economy development & basic facilities Distribute ; widely & fairly = all country

National urbanization policy = provide urban centre Proper > Crowded Different size & roles

Effectiveness relation (urban & rural area) > rural household ; involved urban activities, Faster modern processer ; rural area.

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4 Main Aspect of Regional Development Stability

Increased delivered system in urban &

rural area.13

2.

3. Set up Regional Progress Institution (LKW) Sabah & Sarawak. -To execute development effort at regional & rural area.

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4. Develop ; centre & corridor growth. - To make sure, high economic growth at

decline area.

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Resource & New Land Development

In Situ Rural

Development

Industrial Dispersal Strategy

Rural Urbanisation &

Growth Centre Strategy

Regional Regional Development Development

StrategyStrategy

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Resource & New Land Development Aims; Increasing agricultural productivity in

highly productive land development schemes by absorbing the rural poor from the less developed states.

Implies; Mobility of large numbers of people to newly development areas.

The method; RDA to transform virgin land into agriculturally productive areas.

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Agricultural ProductivityVIDEO 2VIDEO 2

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In Situ Rural Development Definition; An integrated development approach, aimed at

modernising existing rural areas, by providing infrastructural facilities such as drainage, irrigation, marketing, & other agricultural services.

The aim; To increase the productivity of the farmers & improve their standards of living.

Located; less developed parts of the country (e.g., Muda, Kemubu, & Besut – Low income states in Kedah, Kelantan & Terengganu, respectively).

Different from the old rural development approach, in that the new strategy involves defining areas, planning integrated activities, special implementing, & co-ordinating organisation.

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Industrial Dispersal Strategy The aim; To encourage new manufacturing industries to move to

the less developed parts of the country especially in the east coast states from the congested Klang Valley & other major urban centres in the west coast.

Industrial decentralisation; To accelerate development in the poorer states through the utilisation of the local resources & absorbing the large number of the unemployed, especially the Malays.

This strategy is linked; strategy of growth centres, in that the development of these centres would spread the development to the hinterlands.

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Rural Urbanisation & Growth Centre Strategy

Definition; An integral part of the urbanisation strategy, designed to encourage rural to urban migration; especially amongst the Malays, in the context of the NEP.

The aim; relieving the congested metropolitan areas & developing the depressed areas by restructuring the indigenous rural communities into more modern & productive communities.

Related with other strategies; rural industrialisation, industrial dispersion, & growth centres.

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Purposes of Rural Urbanisation Concept

1. To introduce an urban type environment, facilities, & services, into generally agricultural & rural areas.

2. To foster the development of modern commercial & industrial activities in the rural areas, & into the designated new growth centres.

3. To induce an active participation of Malays & other indigenous people within the modern sector of commercial & service activities.

ECER Malaysia - English Version.flv

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VIDEO 3VIDEO 3

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Urban poverty

Inequality in economy & social development

Roles of Local Authority

•Need & reality; Organization.

•Commitment; private & government.

•Decentralization, caring, Responsible & strength.

Finance capability of Local Authority

•Give income sources & investment. •Involve in local economic development .

Distribution of social services

•Housing, education & health.

Urbanization•Pattern.

•Demography & migration people ; rural-urban.

•Working, social facilities & housing.

Roles of federation government

in urban development issues

Element In Urban

Development Policy

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Roles of Federation Government In Urban Development Issues

1. Make sure ; urban development > stable; physical & ethnic Efficient sources management ; land, transportation, housing & etc….

2. Quick urban process at rural area Workers ; Land development scheme People ; in- situ area

In urban economy activities such as services, commercial, small industries.Obj; < income distribution at others area. Encourage development aspect to increase local economy.

3. Make sure ; proper development urban area So ; prepare structure plan & local plan

Development guideline & urban renovation. Increase ; efficiency in urban planning.

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Roles of Federation Government In Urban Development Issues….continue4. Quick urban development

Regional Progress Institution (LKW) Method; study private involvement

Encourage; urban activities Such as ; construction, manufacturing & services.

5. Introduce the concept of village urbanization Method; grouping small village become small urban Commercial activities ; small industries, business & agriculture.

6. Sustainable development Good partnership, good governance & general involvement. Stabilization; fulfill the current requirement & future time – social

development, economy, physical & surrounding area. Institution ; fair principal, effective, transparent & responsible.

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Government Roles In National Development Policy

Roles; social development & security. Private sector ; Play their role in economy country

growth. Profit & invest ; higher return. But ; lowest return sector (agriculture)

; Long term of return

(social infrastructure & security)

Not attractive private sector.

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3 Phase to develop National Economy (since Year 1960)

Market Based Approaches

Development by Government

Private & Public Commitment

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Market Based Approaches 1960-1970 ; agriculture sector

Main contribute to economy growth.

Rubber & tin; main commodity Contribute 53% (export). Main contribution ; federation revenue 28%.

2 development approaches;1. Industrial sector & commercial ; laissez-faire policy (British).

Def;..is a doctrin mention that the initiative & private product is the best because no participation by government (free market, minimum tax & rules, property ownership).

2. Rural area ; They have social infrastructure & physical. Government play an active role. To make sure ; rural people get development benefit.

This approaches ; success – contribution national economy (6% yearly).

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Development by Government 1971-1983. Since racial riot; reconsider development approaches of

laissez-faire.

Aware ; importance of stable & fair distribute of development revenue.

New approaches; to make sure native of a country. Get a benefit from economy development = DEB

objective.

This time; government play big roles. From rural area development to pro-active role. Under development & economy distribution.

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Private & Public Commitment

Purpose; encourage > participation of public sector (especially native of a country). In country development as a DEB

objective.

Still use nowadays.

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Basic Government

Roles In Urban

Management

Monitoring Zoning Compactness Standard Infrastructure

What is Sustainability?

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VIDEO 4VIDEO 4

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Sustainable Development Development; fulfill current requirement

without spoilt capability for future fulfill. (Brundtland, 1987 )

Consider; caring capability Sources Distribution of domestic waste Pollution rate ; urban & surrounding area (White & Whitney, 1992)

Must consider; social fair Human basic necessities Public health Surrounding awareness ; space & time

Method ; urban economy health. Focus > ; economy activities, work chances & poverty problem.

(David Drakakis-Smith, 1995)

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Aim of Sustainable Development

Sources Conservation

Physical Development

Social Impartiality

Political Participation

Quality of Nature

• Continuously ; effective land use.

• Conservation ; natural sources.

1. Change sources.

2. Using changes.

3. Maintain intangible factor; comfortable & heritage value.

• Balance with nature.

• Community awareness : chances.

• Minimize sources Misspend

• Minimize bad element; community.

•Over development.

•Declining business.

• Protect pollution.

• Save eco-system.

• Avoid development ; health & quality of life.

• < output process.

• Care method; throw rubbish.

• Avoid development ;+ differences rich & poor.

• Encourage development.

• < misspend; human energy.

• Encourage community participation.

  (Blowers, 1993)

Sustainable Approach

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VIDEO 5VIDEO 5

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CompletenessCommunity balance; work, housing, shopping & etc.

Compactness< depends ; vehicle,

effective infrastructure,< pressure; nature sensitiveness.

ConservationUrban growth ; limited

nature sensitiveness area,& habitat maintain the ecology.

ComfortWalking space.

CoordinationPlanning & management activity;

Land use development & effective infrastructure.

CollaborationMaking decision.

Sustainable Development Approaches

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ConclusionsTo achieve stable development; Increase urban & small area. Development strategy must focus on potential area &

care surroundings quality. Physical development strategy must related with

economy & social development strategy. Varieties economy & industrial development at rural

area. Urban development strategy ; Consider the sources

& capability to solve inequality problem.

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regional growth, Papers of the Regional Science Association, 55: 1-12.2. Coffey, W.J. dan Polese, M. (1985). Local development : conceptual bases and policy implications.

Regional Studies. 19(2): 85-93.3. Ferguson, B.W. (1992). Inducing local growth : Two intermediate-sized cities in the state of Parana

Brazil, Third World Planning Review, 14 (3):245-265.4. Friedmann, J. dan Weaver, C. (1979). Territory and Function : The Evolution of Regional Planning.

London : Edward Arnold.5. Glasson, J. (1992). The fall and rise of regional planning in economically advanced nations. Urban

Studies. 29(3/4): 505-531.6. Hautamaki, L. (1993). Rural communities : Finnish find renewal in village action, Town Planning and

Country Planning, 62(10); 283-285.7. Perroux, F. (1970). Note on the concept of “growth pole”, translated by Linda Gates and Anne Marie

McDermont, Perroux, F. “Note sur la notion de pole de croissance” Economi Appliquee (1955), in Mckee, D.L., Dean, R.D. dan Leahy, W.H. (eds.), Regional Economic Development : Theory and Practice. New York : Free Press.

8. Snograss, D. R. (1980) Inequality and Economic Development in Malaysia, Oxford University Press: Kuala Lumpur.

9. Stohr, W.B. and Taylor, D.R.F. (1981). Development from Above and Below. Chichester : John Wiley and Sons.

10. Williamson, J. G. (1965) Regional inequality and the process of national development: a description of patterns, Economic Development and Cultural Change, Vol. 13, No. 4: pp. 3-45.

11. Williamson, J. G. (1965) Regional inequality and the process of national development: a description of patterns, Economic Development and Cultural Change, Vol. 13, No. 4: pp. 3-45.

12. Snograss, D. R. (1980) Inequality and Economic Development in Malaysia, Oxford University Press: Kuala Lumpur.

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