Historical and Theoretical Framework of the Relation between Higher Education Institutions and the Process of Regional Economic Development

Abstract

Objective: The objective is to show how the relation between the higher education institutions and their surrounding environment has evolved over the centuries and how it can increase the economic competitiveness of regional and national economies.

Research Design & Methods: For the literature review that illustrates the evolution of the relation between higher education institutions and its surroundings we used a qualitative analysis using various sources of information (books, articles, journals etc.) In order to capture the contribution of higher education to sustainable development of national economies in Eastern Europe we used an empirical analysis based on the data and statistics provided by the The Global Competitiveness Report.

Findings: In the context of a contemporary global knowledge economy, higher education institutions contribute to the economic competitiveness of regions and nations by performing quality higher education and innovation activities.

Implications & Recommendations: Both theoretical literature and practical evidence show that the relation between higher education institutions and the surrounding economies have helped eachother become more competitive. More than ever, nowadays regions and nations must foster and invest in the most important institutions that provide higher education and innovation which increase the competitiveness level.

Contribution & Value Added: The originality of this work lies in displaying the historical evolution of higher education in relation to its surrounding environment and  the comparative analysis of the two competitivity pillars higher education and innovation  in Eastern Europe.

Article type:

research paper

Keywords:

higher education institutions; regional economic development; socio-economic impact;

JEL codes:

O1, F63

Keywords

higher education institutions, regional economic development, socio-economic impact

Author Biography

Alexandru Cristian Fotea

Bachelor of Economics and Business Administration (Alexandru Ioan Cuza University of Iasi, Romania); Master in International Trade (Alexandru Ioan Cuza University of Iasi, Romania); PhD  in Economics (Alexandru Ioan Cuza University of Iasi, Romania).

Corneliu Gutu

Professor at the Academy of Economic Sciences of Moldova, Republic of Moldova; Bachleor in Economics at the National Economic Institute in Moscow, PhD in Economics obtained at the National Economic Institute in Moscow.

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