In the face of economic uncertainty, policy makers are interested in how the economic resilience of economies might be strengthened. This report examines the evidence available to help inform policy debates in Wales.
The Minister for Economy and Transport and the Deputy Minister for Economy and Transport asked the Wales Centre for Public Policy to advise them on the evidence base that can help inform policies to improve the resilience of the Welsh economy.
In this report we review the state of the current literature on economic resilience, highlighting those aspects that can help to strengthen the resilience of an economy. The evidence is drawn primarily from the UK, Europe and North America, with a strong focus on experience gained from the global financial crisis of 2008/09. The report also considers the specific lessons learnt from the closure of a major manufacturing plant in the West Midlands, offering pointers to the value of different policy approaches over time. Finally, the report examines the suggestion that mid-sized firms, embedded in their local economy, provide a route to a more resilient economy.