ABSTRACT
OECD countries increasingly recognize that strong national growth requires strong regional growth, but also that regions within countries perform at very different levels. Reducing these differences in performance requires place-sensitive regional policy that can target both key impediments to, and opportunities for, region-specific growth mechanisms (Barca, McCann & Rodríguez-Pose, 2012; Mendez, 2013). However, the rural regions of OECD countries, particularly those more remote from large metropolitan regions, are often considered to be “less favoured” and less capable of contributing to growth. Their development challenge is seen as stemming from a variety of causes, such as: weak connectivity to the larger national economy and society, geographic impediments in the form of a harsh climate or challenging topography, an ongoing reliance on older and declining industries and technologies, weak social and political institutions and poor demographic prospects that are associated with an aging and shrinking population that is further challenged by an inability to attract new migrants.
