THE CHANGING-ROLE OF INDUSTRY IN REGIONAL-DEVELOPMENT AND REGIONAL-DEVELOPMENT POLICY IN HUNGARY

The article first reviews Hungarian regional development policy under socialism with particular reference to manufacturing, and then outlines current serious problems in that sector. In an evaluation of options for both improved national development and regional wellbeing, it is argued that the major aim of Hungarian public policy should be to strengthen competitiveness of the national economy and major urban centers. This will result in spatial polarization of the economy, intensification of core-periphery tendencies, and acceleration of the restructuring of society and the economy. The tasks of regional development should be relatively limited, with projects concentrating on a few regions, rather than a national effort to equalize conditions in all regions.