Growth Poles Theory

The core idea of the growth poles theory is that economic development, or growth, is not uniform over an entire region, but instead takes place around a specific pole. This pole is often characterized by a key industry around which linked industries develop, mainly through direct and indirect effects. The expansion of this key industry implies the expansion of output, employment, related investments, as well as new technologies and new industrial sectors. Because of scale and agglomeration economies near the growth pole, regional development is unbalanced. Transportation, especially transport terminals, can play a significant role in such a process. The more dependant or related an activity is to transportation, the more likely and strong this relationship. At a later stage, the emergence of a secondary growth pole is possible, mainly if a secondary industrial sector emerges with its own linked industries.

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Copyright © 1998-2012, Dr. Jean-Paul Rodrigue, Dept. of Global Studies & Geography, Hofstra University, New York, USA.
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