ABSTRACT

This chapter examines the extent of central government activity in Scotland and analyse how far the pattern of Scottish economic performance can be attributed to central government activity. It provides the extent and pattern of central government expenditure in Scotland and discusses briefly the procedures followed and the conclusions reached by the earlier studies of the effects of regional policy on Scotland. The chapter explores the regression analysis of the main influences on Scottish manufacturing; examine the employment and output change in other sectors of economic activity. The group of smaller ‘free-standing’ towns they considered is predominantly Scottish - the group consists of Cardiff, Aberdeen, Dundee and Edinburgh - and for this group there was a relative improvement of 15,000 jobs in manufacturing in 1961–71. The chapter describes modelling all the policy variables which could be expected to have some influence on the employment and output change in Scottish manufacturing.