Contribution of Romanian Secondary Sector to Regional Development

Abstract

In this paper, we shows the contribution of the secondary sector (industry and construction) on the economic development of the regions, functional areas and the urban system in Romania. The development of economic activities of production is conditioned by  certain geophysical, demographical, social and cultural characteristics. Considering that economic restructuring and privatization of industry put their mark on the evolution of the Romanian economy in recent years, it is absolutely necessary to take into account the influence of the secondary sector activities - industry and construction, to establish the  development measures of romanian regions. One more reason is that the most industrialized cities prior 1990, dependent on a single branch of industry, losing the markets for these industries, recorded high unemployment, which in terms of social, equates to a high degree of poverty.

            Territorial development of the secondary sector shows large differences mainly due to natural barriers, level of accessibility to natural resources and public services of general interest. These gaps deep more economic and social problems existing in the territory.

            In the secondary sector, Romania follows closely the provisions of European Union policy, in order to develop a national competitive market, integrated into the European internal market. An example: in the industrial branch, employment share is approximately equal to the european average level. In terms of productivity, in Romania, in the context of a very low level of this indicator, its value is  high in the industrial sector (especially in the manufacturing sector the specific productivity is above the national average). It is estimated that after 2014, the improvement of Romania's macroeconomic stability could generate rapid growth in the secondary sector.

            In Romania, industrial sector faces with problems such:  the high level of resources not identified, poor promotion on domestic and foreign market, the dependence of certain areas of a single industry. Economical and social development in certain areas of Romania depends largely of industrial sector, recent restructurings with significant negative effects in these territories.

            The construction sector, together with other sectors of the Romanian economy,  continues to be sensitive to national economic fluctuations, according to the results achieved in recent years. Legislative and economic instability are the main factors that influence significantly the construction sector.