ABSTRACT

In 1976 the Norwegian Parliament passed a law which aimed at influencing the location pattern of new economic activity in accordance with regional policy goals. The Norwegian Location Act represented an attempt to strengthen the effects of the ordinary “positive” regional policy measures through applying a restrictive measure, adding a “stick” to the “carrot”. An evaluation of the effects of the Location Act obviously has to take place in the clear light of hindsight. The Ministry of Municipalities and Labour went in for a strict and consequent practicing of the Act. An evident conclusion is that the effects of the Location Act have been neglible. This Act made the establishment and expansion of oil-related enterprises and larger manufacturing firms dependent on the government’s approval in advance. The Labour party dominated Regional Development Fund-board continued to practice the Act restrictively until the authority with which it was invested, was removed in 1984.