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Articles

Exploring the Arctic’s “other economies”: knowledge, creativity and the new frontier

Pages 51-68 | Received 27 Jul 2015, Accepted 02 Jan 2016, Published online: 09 May 2016
 

Abstract

The stylised notion of the Arctic’s economy as solely based on three “pillars”: resources, public and traditional sectors, is no longer nuanced enough to accommodate the growing role of Arctic’s “other” (non-pillar) economies prompted by the worldwide shift to tertiary and quaternary sectors. The goal of this paper is to introduce and showcase the Arctic’s “other economies” and offer a patchwork of cases that illuminate various aspects of “other” economies. These studies include an investigation of the Arctic’s knowledge economy at the circumpolar and regional scales, a study of cultural economy and an inquiry into the relationships between “other” and “pillar” Arctic sectors. The paper concludes that although the volume of knowledge production in the Arctic is still comparatively small and economic engagement of local creativity is relatively weak, Arctic economic systems are evolving to increasingly incorporate these sectors. The Arctic knowledge economy is characterised by the key role of individual inventor or single industry, connectedness to external networks vis-a-vis weak links within the Arctic, obscured relationship between formal education and knowledge production, an elevated role of informal skills, and remaining dependency on boom and bust cycles in resource extraction. However, as “other economies” mature, this dependency is expected to diminish leading to a more sustainable model of development. Thus, this paper argues that “other economies” should move to the forefront of economic analysis and the strategising for sustainable development in the Arctic.

Notes

1 Gunnar Knapp and Lee Huskey, “Effects of Transfers on Remote Regional Economies: The Transfer Economy in Rural Alaska,” Growth and Change 19, no. 2 (1988): 25–39; Lee Huskey, “Challenges to Economic Development: Dimensions of ‘Remoteness’ in the North,” Polar Geography 29, no. 2 (2005): 119–125.

2 Solveig Glomsrød and Iulie Aslaksen, The Economy of the North (Oslo: Statistics Norway, 2006); Solveig Glomsrød and Iulie Aslaksen, The Economy of the North 2008 (Olso: Statistics Norway, 2008).

3 See Joan N. Larsen and Lee Huskey, “The Arctic Economy in a Global Context,” in The New Arctic, eds. Birgitta Evengård, Joan Nymand Larsen, and Øyvind Paasche (Cham: Springer International Publishing, 2015), 159–174; Lee Huskey, Ilmo Mäenpää, and Alexander Pelyasov, “Economic Systems,” in Arctic Human Development Report II, eds. Joan Nymand Larsen and Gail Fondahl (Akureyri: Stefansson Arctic Institute/Nordic Council of Ministers, 2014), 151–183; Rasmus O. Rasmussen, ed. Megatrends (Copenhagen: Nordic Council of Ministers, 2011).

4 Huskey, Mäenpää, and Pelyasov, “Economic Systems,” 166.

5 Glomsrød and Aslaksen, The Economy of the North 2008.

6 Colin M. Hall and Margaret E. Johnston, Polar Tourism: Tourism in the Arctic and Antarctic regions (Wiley, 1995); Dieter K. Müller, “Issues in Arctic Tourism,” in The New Arctic, eds. Birgitta Evengård, Joan Nymand Larsen, and Øyvind Paasche (Cham: Springer International Publishing, 2015), 147–158; Emma J. Stewart, Diane Draper, and Margaret E. Johnston, “A Review of Tourism Research in the Polar Regions,” Arctic 58, no. 4 (2005): 383–394.

7 C. Michael Hall, “Santa Claus, Place Branding and Competition,” Fennia-International Journal of Geography 186, no. 1 (2008): 59–67.

8 Jussi S. Jauhiainen and Katri Suorsa, “Triple Helix in the Periphery: The Case of Multipolis in Northern Finland.” Cambridge Journal of Regions, Economy and Society 1, no. 2 (2008): 285–301.

9 Huskey, “Challenges to Economic Development.”

10 Lee Huskey, “Globalization and the Economies of the North,” in Globalization and the Circumpolar North, eds. Lassi Heininen and Chris Southcott (Fairbanks: University of Alaska Press, 2010), 57–90.

11 Huskey, Mäenpää, and Pelyasov, “Economic Systems.”

12 Glomsrød and Aslaksen, The Economy of the North 2008.

13 Ibid.

14 Rasmussen, ed., Megatrends.

15 E.g. Kenneth J. Rea, The Political Economy of Northern Development (Ottawa: Science Council of Canada, 1976): Available by mail from Information Canada; Samuil V. Slavin, The Soviet North: Present Development and Prospects (Moscow: Progress Publishers, 1972); James E. Randall and R. Geoff Ironside, “Communities on the Edge: An Economic Geography of Resource-dependent Communities in Canada,” The Canadian Geographer/Le Géographe canadien 40, no. 1 (1996): 17–35; A. N. Pelyasov And the Last Become the First: Russian Periphery on the Way to Knowledge Economy [In Russia] (Moscow: URSS, 2009).

16 Larsen et al., Arctic Human Development Report II (Copenhagen: TemaNord, 2014); Glomsrød and Aslaksen, The Economy of the North 2008.

17 John Friedmann, Regional Development Policy: A Case Study of Venezuela (Cambridge, MA: The MIT Press, 1966).

18 Samir Amin, “Imperialism and Globalisation,” Monthly Review 53, no. 2 (2001).

19 Kevin Morgan, “The Learning Region: Institutions, Innovation and Regional Renewal,” Regional Studies 31, no. 5 (1997): 491–503.

20 P. M. Romer, “Endogenous Technological Change,” Journal of Political Economy 98, no. 5 (1990): 71–102.

21 Gordon H. Hanson, “Firms, Workers, and the Geographic Concentration of Economic Activity,” in The Oxford Handbook of Economic Geography, eds. Gordon L. Clark, Maryann P. Feldman, and Meric S. Gertler (Oxford: Oxford University Press, 2000), 477–494.

22 Meric S. Gertler, “Tacit Knowledge, Path Dependency and Local Trajectories of Growth,” in Rethinking Regional Innovation and Change, eds. G. Fuchs and P. Shapira (New York: Springer, 2005), 22–41.

23 W. B. Beyers and D. P. Lindahl, “Lone Eagles and High Flyers in Rural Producer Services,” Rural Development Perspectives 11, no. 3 (2001): 2–10; Ron A. Boschma, “Social Capital and Regional Development: An Empirical Analysis of the Third Italy,” in Learning from Clusters: A Critical Assessment from an Economic-Geographical Perspective, ed. Ron A. Boschma and R. C. Kloosterman (Springer, 2005), 139–168; Yehuda Gradus and Harvey Lithwick, Frontiers in Regional Development (Lanham, MD: Rowman & Littefield, 1996); Catarina Selada, Inês Vilhena da Cunha, and Elisabete Tomaz, “Creative-based Strategies in Small Cities: A Case-study Approach,” REDIGE 2, no. 2 (2011): 79–111.

24 Rasmussen, ed., Megatrends; Andrey Petrov, “A Look Beyond Metropolis: Exploring Creative Class in the Canadian Periphery,” Canadian Journal of Regional Science 30, no. 3 (2007): 451–474; Andrey Petrov, “Creative Arctic: Towards Measuring Arctic’s Creative capital,” in Arctic Yearbook, ed. Lassi Heininen (Akureyri: Northern Research Forum, 2014), 149–166.

25 Diane Hirshberg and Andrey Petrov, “Education and Human Development,” in Arctic Human Development Report II, eds. Joan Nymand Larsen and Gail Fondahl (Akureyri: Stefansson Arctic Institute/Nordic Council of Ministers, 2014), 349–399; Richard Florida, “The Economic Geography of Talent,” Annals of the Association of American Geographers 94, no. 2 (2002): 743–755.

26 Nils Aarsæther, ed., Innovations in the Nordic Periphery (Stockholm: Nordregio, 2004); Andrey Petrov, “Beyond Spillovers: Interrogating Innovation and Creativity in the Peripheries,” in Beyond Territory: Dynamic Geographies of Innovation and Knowledge Creation, eds. Harald Bathelt, Maryann Feldman, and Dieter F. Kogler (New York: Routledge, 2011), 168–190.

27 E.g. Roger Hayter, Trevor J. Barnes, and Michael J. Bradshaw, “Relocating Resource Peripheries in the Core of Economic Geography’s Theorizing: Rationale and Agenda,” Area 35, no. 1 (2003): 15–23; Pelyasov, And the Last Become the First: Russian Periphery.

28 Hayter, Barnes, and Bradshaw, “Relocating Resource Peripheries in the Core”.

29 Pelyasov, And the Last Become the First: Russian Periphery; Andrey Petrov and Philip Cavin, “Creative Alaska: Creative Capital and Economic Development Opportunities in Alaska,” Polar Record 49, no. 4 (2013): 348–361.

30 Rasmussen, ed., Megatrends; Petrov, “Creative Arctic: Towards Measuring,” 149–166.

31 Glomsrød and Aslaksen, The Economy of the North; Glomsrød and Aslaksen, The Economy of the North 2008.

32 Petrov, “A Look Beyond Metropolis.”

33 Zoltan J. Acs and David B. Audretsch, “Patents as a Measure of Innovative Activity,” Kyklos 42, no. 2 (1989): 171–180; Maryann P. Feldman, “Location and Innovation: The New Economic Geography of Innovation, Spillovers, and Agglomeration,” The Oxford Handbook of Economic Geography (2000): 373–394.

34 Dieter F. Kogler, “Intellectual Property and Patents: Knowledge Creation and Diffusion,” in The Handbook of Manufacturing Industries in the World Economy, eds. Jennifer Clark, Vida Vanchan, and John B. Bryson (Cheltenham: Edward Elgar, 2014), 1–25.

35 Daniele Archibugi, “Patenting as an Indicator of Technological Innovation: A Review,” Science and Public Policy 19, no. 6 (1992): 357–358; John Hagedoorn and Myriam Cloodt, “Measuring Innovative Performance: Is There an Advantage in using Multiple Indicators?” Research policy 32, no. 8 (2003): 1365–1379.

36 Petrov and Cavin, “Creative Alaska: Creative Capital.”

37 Harald Bathelt, Anders Malmberg, and Peter Maskell, “Clusters and Knowledge: Local Buzz, Global Pipelines and the Process of Knowledge Creation,” Progress in Human Geography 28, no. 1 (2004): 31–56.

38 Stefan Voswinkel, Survey of Yukon’s Knowledge Sector: Results and Recommendations (Whitehorse, YT: Ylynx Management Consulting, Inc. and Yukon Research Centre, Yukon, 2012).

39 Peter Schweitzer, Peter Sköld, and Olga Ulturgasheva, “Cultures and Identities,” in Arctic Human Development Report II (Copenhagen, 2014).

40 SLiCA, “Survey of Living Conditions in the Arctic,” (2008) Table 1, 48.

41 Hill Strategies Inc., “Artists in Small and Rural Communities in Canada,” Statistical Insights on the Arts 8, no. 2 (2010).

42 Hill Strategies Inc. “Artists and Cultural Workers in Canada’s Provinces and Territories,” Statistical Insights on the Arts 12, no. 3 (2014).

43 Nordicity Group, “Needs Assessment: Arts Administration Skills and Resources in Nunavut’s Arts and Culture Sector,” 2014.

44 Hill Strategies Inc., “Artists in Small and Rural Communities.”

45 Florida, “The Economic Geography of Talent”; Petrov, “A Look Beyond Metropolis.”

46 Andrey Petrov, “Post-staple Bust: Modeling Economic Effects of Mine Closures and Post-mine Demographic Shifts in an Arctic Economy (Yukon),” Polar Geography 3, no. 1–2 (2010): 39–61.

47 Ibid.

48 Petrov, “Beyond Spillovers: Interrogating Innovation”.

49 E.g. Petrov, “A Look Beyond Metropolis.”; Petrov, “Creative Arctic: Towards Measuring.”

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