ABSTRACT

The Norwegian economy runs at almost full capacity, at least compared to many other countries. In Norway, population densities are very low in the peripheries, and jobs centralization can easily result in migration towards the centres and, in turn, to de-population of the peripheries. De-population, as well as the causes of this problem, including regional production, industrial structure and job opportunities, is the main problem of regional development in Norway. Adapting to international treaties is one factor, but also liberalization, globalization, decentralization and New Public Management influence the Government's role in development generally, and within regional development more specifically. Small and Medium size Enterprises (SMEs) will continue to be important for regional development in Norway in the future as they have been in the past. Since the war, regional issues have been important in Norway, and the redistributive state has influenced the allocation of resources and incomes between regions.