Institutions, Innovation and Economic Renewal 2020

Halkas 12

Learning outcomes

After completing the course, the student demonstrates an analytical understanding of the various knowledge-based theories and development models, and has advanced knowledge and understanding of the dynamics and challenges of institutional change related to economic development of cities and regions. The student also has insight in the complex interaction between innovation, technology, institutions and economic development of cities and regions. The student also learns how institutions governing economic development change, and how institutional entrepreneurs work to change them.


Time: Mondays from January 13 to late April, 14-16
NB! No class Feb 3 (Markku in a meeting) and Feb. 24 (period break)
Place: Main building A2a


  • Literature review based on the lectures and articles:
    60 % of the grade

  • Home exam based on the book and video lectures:
    40% of the grade

    Literature review

    • Everybody will write a literature review in English drawing on the journal articles.

    • Dead-line for submitting literature reviews is April 30

    • Literature reviews will be sent to Markku Sotarauta by email (markku.sotarauta [at]

    • The required minimum length of a literature review is 3000 words (appr. 8-9 pages).

    • What is a literature review and how to write a good one - click here to find the answer.

    Home exam

    • A number of short questions (the book, the lecture materials and video lectures)

    • An open essay (the book, video lectures and lecture material). students are asked to select a specific city or region of their own choice and then relate its economic renewal to a number of more specific issues that have been taken up in the book and other material

    • Will be handed out March 30, deadline is April 9


    • Sotarauta, M. (2016) Leadership and the City: Power, Strategy and Networks in the Making of Knowledge Cities. Routledge; Abingdon, Oxon

    • The eight and half (one short one) journal articles under the heading ‘learning material’

Video lectures

  • (1) Michael Porter: Reshaping Regional Economic Development: Clusters and Regional Strategy (69 min)
    US case, generic view on economic develoopment
    Supports the first article

  • (2) MIT's Entrepreneurship Ecosystem (17 min)
    MIT is a leading entrepreneurial university and an inspiration for many things also in Finland
    Roberts & Murray & Kim (2015) Entrepreneurship and Innovation at MIT: Continuing Global Growth and Impact (voluntary, sheds light, provides empirical evidence)

  • (3) Mariana Mazzucato: The entrepreneurial state. TEDxSussexUniversity (17 min)
    Reminds about the systemic nature of innovation and the roles of a state. Not so surprising in Finland but has become hugely popular in many countries.

  • (4) Animated timeline shows how Silicon Valley became a $2.8 trillion neighborhood (3,54)

    Used in class

Recorded lectures


                       Copyright @Markku Sotarauta since 1998