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„Autonomy and Empowerment: Social and Solidarity Economy Initiatives and Local Development in Peripheralised Areas of Germany and Hungary“

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„Autonomy and Empowerment: Social and Solidarity Economy Initiatives and Local Development in Peripheralised Areas of Germany and Hungary“ „Autonomy and Empowerment: Social and Solidarity Economy Initiatives and Local Development in Peripheralised Areas of Germany and Hungary“ Von der Fakultät für Physik und Geowissenschaften der Universität Leipzig genehmigte D I S S E R T A T I O N zur Erlangung des akademischen Grades promovierte Geisteswissenschaftler Dr. phil. vorgelegt von Melinda Mihály, M.A. geboren am 04.01.1989. in Budapest (Ungarn) Gutachter: Prof. Dr. Sebastian Lentz Direktor des Leibniz-Instituts für Länderkunde Professor für Regionale Geographie an der Universität Leipzig Tag der Verleihung 21. Juni 2021 autonomy & empowerment SOCIAL AND SOLIDARITY ECONOMY INITIATIVES AND LOCAL DEVELOPMENT IN PERIPHERALISED AREAS OF GERMANY AND HUNGARY Melinda Mihály 2019 DISSERTATION PRESENTED TO The Institute of Geography Faculty of Physics and Earth Sciences Leipzig University autonomy & empowerment SOCIAL AND SOLIDARITY ECONOMY INITIATIVES AND LOCAL DEVELOPMENT IN PERIPHERALISED AREAS OF GERMANY AND HUNGARY In Partial Fulfillment of the Requirements for the Degree of Doctor of Philosophy by Melinda Mihály Born in Budapest on the 4th January, 1989 Supervisor Prof. Dr. Sebastian Lentz Leipzig, Germany September, 2019 Contents List of Abbreviations 11 Figures / Maps / Images 13 Tables 15 1 Introduction 17 1.1 AIMS AND MOTIVATION 17 1.2 THE RELEVANCE OF THE RESEARCH 20 1.3 ACKNOWLEDGEMENTS 21 2 Theorising peripheralisation and local development 23 2.1 PERIPHERALISATION, A MULTI-DIMENSIONAL, SELF-REINFORCING PROCESS 23 2.1.1 Dimensions of peripheralisation 23 2.1.2 Advanced peripheralisation 28 2.2 SOCIAL AND SOLIDARITY ECONOMY AND LOCAL DEVELOPMENT 29 2.2.1 Economic dimension 30 2.2.2 Social dimension: autonomy and empowerment 31 2.2.3 Environmental dimension 36 2.3 CONCEPTUAL FRAMEWORK AND RESEARCH QUESTIONS 38 3 Contexts: social and solidarity economy in the context of peripheralisation 41 3.1 PERIPHERALISATION 41 3.1.1 Post-socialist transformation, a historical overview of periheralisation 41 3.1.2 Multi-dimensional peripheralisation in East Germany and Hungary 44 3.1.3 The relational aspect of peripheralisation 48 3.1.4 Advanced peripheralisation, a Hungarian (semi-peripheral) reality 50 3.2 SOCIAL AND SOLIDARITY ECONOMY IN CEE 51 3.2.1 Informal social and solidarity economy 52 3.2.2 Institutionalised social and solidarity economy 54 4 Methodology 59 4.1 TOWARDS A CRITICAL REALIST ETHNOGRAPHY 59 4.1.1 The scope of postmodern reflexive ethnography 60 4.1.2 Critical realism 61 4.1.3 Critical realist ethnography 62 4.2 CASE SELECTION AND COMPARATIVE PROCEEDING 63 Stage 1: Selecting areas undergoing peripheralisation 63 Stage 2: Identifying rural social enterprises 66 4.3 DATA COLLECTION 68 4.3.1 Interviews 69 4.3.2 Participant observation 72 4.3.3 Documents 76 6 | autonomy & empowerment Contents | 7 4.4 POTENTIAL AND LIMITATIONS OF THE METHODOLOGY 77 4.4.1 Positivist critiques of the ethnographic approach 77 4.4.2 Anti-realist and postmodern critiques of ethnography 78 4.4.3 Critical realism and political engagement 79 4.4.4 Data analysis and reflections on the field experiences 81 5 Peripheralisation and the local scale 83 5.1 PERIPHERALISATION: THE LOCALITY AND THE CASE STUDY PROFILES 83 5.2 PERCEPTIONS AND RESPONSES TO PERIPHERIALITY IN DIFFERENT CONTEXTS 91 5.2.1 Surviving advanced peripheralisation 91 5.2.2 Uneven access to education 92 5.2.3 Counter-cultural migration 93 5.3 THE MAIN CHALLENGES AND MISSION OF THE CASE STUDY SOCIAL ENTERPRISES 95 6 The interplay between autonomy and local resource-mix strategies 99 6.1 ORGANISATIONAL AUTONOMY AND ACCESS TO FUNDING 99 6.2 MARKET-BASED RESOURCES: EARNED INCOME 102 6.3 NON-MARKET RESOURCES: GRANTS AND SUBSIDIES 106 6.3.1 International governmental funding 106 6.3.2 National governmental funding 114 6.3.3 Non-governmental funding 119 6.4 NON-MONETARY RESOURCES: THE CAPACITIES OF THE LOCAL COMMUNITY 120 7 Empowerment capacity of the case study initiatives 123 7.1 DECISION-MAKING STRUCTURES 123 7.1.1 Representative decision-making structures 124 7.1.2 Participative decision-making structures 127 7.2 EMPOWERMENT OF ROMA (WOMEN) 131 7.2.1 The empowerment capacity of rural social enterprises: a perspective of the Roma 132 7.2.2 A gendered aspect: the empowerment of Roma women 137 8 Environmental considerations 143 8.1 ENVIRONMENTAL CONSCIOUSNESS ON THE LOCAL LEVEL 143 8.2 ENVIRONMENTAL CONSCIOUSNESS ON THE ORGANISATIONAL LEVEL 145 8 | autonomy & empowerment Contents | 9 9 Summary and conclusions 149 9.1 LIMITATIONS AND POTENTIALS OF THE METHODOLOGY 149 9.2 THEORETICAL IMPLICATIONS: THE CAPACITY OF SOCIAL AND SOLIDARITY ECONOMY IN COUNTERACTING PERIPHERALISATION 150 9.2.1 Economic considerations: autonomy and local resource-mix strategies 150 9.2.2 Social considerations: Autonomy and Empowerment 153 9.2.3 Environmental considerations: environmental consciousness and environmental impact 156 9.3 POLICY IMPLICATIONS FOR LOCAL DEVELOPMENT AND SOCIAL ECONOMY POLICIES 156 10 References 159 10.1 GENERAL WORKS 159 10.2 DATABASES, RELATED MATERIALS 172 10.3 MEDIA SOURCES 172 10.4 WEBPAGES 173 10.5 LEGAL REFERENCES 174 Annex 1 expert sampling sheet (hu) 175 Annex 2 information sheet (hu) 177 Annex 3 information sheet (de) 179 Annex 4 consent form (hu) 181 Annex 5 consent form (de) 183 Annex 6 expert interviews 185 Annex 7 case study interviews 187 Annex 8 participant observation 189 Annex 9 anonymised data sources 193 10 | autonomy & empowerment List of Abbreviations | 11 List of Abbreviations CEE Central and Eastern Europe CR Critical Realism CS Case Study CSO Civil Society Organisation EAFRD European Agricultural Fund for Rural Development ERDF European Regional Development Fund ESF European Social Fund HCSO Hungarian Central Statistical Offic HEKS Hilfswerk der Evangelischen Kirchen Schweiz, the relief organisation of the Protestant churches in Switzerland LHH Leghátrányosabb helyzetű kistérség, “least privileged micro-region” Ltd Limited Liability Company MNE Ministry of National Economy NCA National Civil Fund (Hungary) NGO Non-governmental Organisation NPO Non-profit Organisation PAR Participatory Action Research SBI Social Business Initiative SME Small- and Medium Enterprises SSE Social and Solidarity Economy SE Social Enterprise 12 | autonomy & empowerment Figures, Maps, Images | 13 Figures Figure 1 Mechanisms of peripheralisation 25 Figure 2 Conceptual framework: Peripheralisation and local development 39 in a social and solidarity economy perspective Figure 3 The peripheralisation of the case study villages in a comparative perspective 86 Figure 4 Decision-making within the Parents’ Association 130 Maps Map 1 Based on the Government Decree no. 290/2014 (XI.26.) 64 the case study rural social enterprises are located in micro-regions “to be developed with complex programmes” Map 2 The case study initiatives on the settlement deprivation map of Hungary, 2011 65 Map 3 Growing and shrinking settlements in Germany, the classification 66 of the Federal Institute for Research on Building, Urban Affairs and Spatial Development (BBSR) Images Image 1 Organic Village Farm 86 Image 2 Community Center 87 Image 3 Community Apiculture 88 Image 4 Village School Kreltow 89 Image 5 More generational playground in Wrimlow, built by the locals engaged in the employment initiative 89 Image 6 Handmade needlework, presented by a Vlach-Roma woman 96 Image 7 Village Store 104 Image 8 Handmade wooden boxes decorated with the children’s art 140 Image 9 A Vlach Roma and a Romungro Roma woman working together 141 in the fruit and vegetable manufacture of the Equality Foundation 14 | autonomy & empowerment Tables | 15 Tables Table 1 Case selection, sources for identifying rural social enterprises 67 Table 2 Participant observation at the case study social enterprises 72 Table 3 Unemployment, Car Ownership and the Ratio of Roma in the Case Study Villages 84 Table 4 Main characteristics of case study social economy initiatives 90 Table 5 The resource-mix of the case study social economy initiatives 102 Table 6 Market-based income (net sales), Hungarian case study SEs 103 Table 7 Other revenues of the Community Apiculture Non-profit Ltd 104 Table 8 Profit after taxation, Hungarian case study SEs 105 Table 9 EU-based funding directly related to the Organic Village Farm 108 (excluding EAFRD funds in the 2007–2013 financing period) Table 10 EU-based funding indirectly related to the Organic Village Farm 109 Table 11 EU-based funding indirectly related to the Complex Development 109 Programme of the Equality Foundation Table 12 EU-based funding indirectly related to the Community Apiculture 110 Table 13 List of individual expert interviews 185 Table 14 List of participant observation on national workshops 185 about social enterprise and rural development Table 15 Formal interviews 187 Table 16 Informal interviews 188 Table 17 Field visits and participant observation at the case study rural social enterprises 189 Table 18 Anonymised data sources 193 1 Introduction | 17 1 Introduction 1.1 Aims and motivation Being raised in a village within the agglomeration of Budapest implied certain privileges. Both from an eco- nomic and a social point of view our village benefitted from its geographical proximity to Budapest. As the local agricultural cooperative closed down due to the restructuration of the agricultural sector, after the second half of the 1990s international companies started to move to our micro-region. Jobs became available locally again and for those who aimed to earn better salaries it was possible to commute to Budapest. Cheap property prices, good public transport and the proximity of the motorway also attracted young middle-class families to our village. As a child, I1 attended a public kindergarten and state school, where I had both Roma and non-Roma classmates coming from both underprivileged and (lower) middle-class families. Based on my childhood memories and ex- periences such as playing in the woods, biking and skating, going over to cousins or friends to play, I developed a certain romanticised picture about villages.
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