The impact of path dependence on the adaptation of old-developed industrial regions of the Lower Oka Region to changing economic conditions in the post-Soviet period

Abstract

The article considers the influence of “path dependence” on the adaptation of old industrial territories of the Nizhny Novgorod Region to the changing economic conditions in the post-Soviet period. The authors identify two different development trajectories - in the northern part (Pavlovsky and Vachsky districts) with a predominance of small business and handicraft production and in the southern part (Vyksa, Kulebaki, Navashino) with a predominance of large enterprises. The study is based on interviews, statistical and archival data. The comparative analysis showed that northern territories managed to adapt by restructuring and diversification of production based on the historical handicraft traditions, while southern territories maintained a monocentric model with the city-forming enterprise determining economic and social life. The authors identify three types of “blocking effects” (functional, political, and cognitive) that make it diff icult to diversify the economy in southern regions. On the contrary, in northern regions, a developed network of cooperating small enterprises contributes to the sustainability and flexibility of the local economy. Thus, historical specialization of territories still determines their development trajectories.