Content №4 от 2024
Embedded Sector of the Economy in Siberian Regions
This study explores internal resources for territorial development based on human capital by identifying a sector of the regional economy associated with the economic activities of the local population. We use the concept of “embeddedness" of economic actions within the regional community to describe this sector. The share of income derived from entrepreneurship and property among the local population is proposed as a criterion for measuring economic embeddedness, reflecting the extent to which the regional community participates in market relations as an economic actor. The analysis highlights spatial differences in the degree of economic embeddedness, notably in Siberian resource regions where external corporations dominate the economy through raw material extraction and primary processing. The development of the embedded sector, especially in areas related to intellectual activity, plays a part in retaining the most active and educated members of the population in eastern regions. The findings can be applied to regional socio-economic planning, advocating a shift from reliance on natural resources to prioritizing human potential by fostering the growth of the embedded economy.
