The nexus of a regional competitiveness and economic resilience: The evidence-based on V4+4 NUTS 2 regions

Abstract

Economies have always been prone to economic downturns, industry shocks, currency crises, and the current COVID-19 epidemic crises, destabilising a region’s economic growth trajectory and pattern. By re-establishing economic ties both inside and outside regions, regional economies that have been disturbed by a shock may transition to a new growth trajectory. We examined the idea of competitiveness and resilience in a regional development context to answer why one region is more susceptible to economic shock than others and the competitive advantages and disadvantages of V4+4 countries. This article highlights some of the core characteristics of regional competitiveness and resilience and gives a survey of the notion, main empirical results, and planning tasks concerning regional competitiveness and resilience. The idea of resilience is gaining greatness because of the COVID-19 crisis, and its importance is growing in research and economic policymaking. Ideas like “2020 made us stronger” and “resilience, tenacity, and the ability to bounce back” are obviously alluring during the current crisis. The COVID-19 problem, however, has decreased the main systems’ shock resistance and caused failures to spread from one system to another. Thus, it is necessary to suggest a systems approach focused on resilience to have socio-economic systems ready for potential shocks. The paper’s main topic is resilience-focused tactics, with a focus on the current European Union strategy. The European Union must strengthen its resilience considering the COVID-19 issue and the political agenda that is transition-driven in order to move forward or recover but emerge stronger. If policies are to be effective in the long run, an attitude responding to the systemic causes and impacts of big shocks is required.