ABSTRACT

This chapter examines the process and the dynamics of an effort to promote collective action at the subnational level. Unlike the previous case studies, it does not address industrial policy in one country treated as a homogenous territory. 2 Its aim is to identify the extent to which regions are able to distinguish themselves from their neighbors by better utilizing the opportunities offered in a national context so that they can establish the foundations of a sustainable economic system. The question we address is whether, in the absence of established regional autonomy, it is possible (or likely) for particular areas to trigger a process of changing conventions and informal rules leading to improved economic results, even when the region is subject to the same formal rules, incentives, opportunities, and threats as the rest of the country.