Conclusion: Industrial Clusters and Poverty

Abstract

This chapter highlights the key findings of this book and recounts the main lessons from the previous six chapters. It revisits the main hypotheses of the book: first, firms in clusters influence the living standards of workers by passing on workplace benefits, which they build upon and impart to workers because it is in their interest to raise the productivity of these workers; second, firms in clusters might choose not to provide other work-based and place-based benefits like health, transportation, or housing in the workplace though it would impact the living standards of the workers because social policies do not compel them to do so, and they do not see the direct benefit to the firm of doing so; and third, firms in clusters might pass on one or more of these work-based and place-based benefits to workers because it is at a low cost to the firm, and/or they seek to gain and/or deepen the loyalty of the workers to the firm. It then shows how, if at all, these hypotheses were met. It recaps the main themes that were covered in the book and sets forth implications for theory, policy, and planning, while providing recommendations for future research.