۱٫ Introduction

۲٫ Industrial City

۳٫ Creative City

۴٫ Conclusion

References

The paper analyses industrial city’s economic development during the 19th century and its policy, which still today has influence on the city’s processes in politics, economics, social and urban development. Like with other industrial cities, Liepaja’s success started in the beginning of the 19th century with the abolition of serfdom in Russian Empire. It allowed free people movement and increased the population of the city. Next wave for the city’s rapid development was the railway installation. The railway, the harbour and free access to the human resources provided industrial city’s advancement during the second half of the 19th century and it provided a basis for the development of nowadays Liepaja. Liepaja’s harbour and industry are still playing an important role in its economic development. However, currently the number of the population is decreasing and Liepaja city has one of the highest unemployment rates in Latvia. The Paper is studying: “Liepaja’s economic development policy changes, challenges and issues converting from industrial city to the city whose economic development relies on different aspects not only traditional industry”, “Liepaja’s creative economy, societal changes from worker class to creative class to rebuild economy “, “Liepaja’s creative policy, actions and place making process to develop creative economy, creative industries, creative professions and creative places. The result of the study will be recommendations for creative city economics policy implementation and creative place making process in local municipality.”

Introduction

Cities have changed more since the Industrial Revolution than in all the previous centuries of their existence (Cliff,..). Technological innovations provided development for urban territories during the 19th century. Moreover, this is basis for current development of city’s economics, politics (incl. administration), technology, social and environmental (incl. city landscape) aspects. The population growth, innovation intensity and development of urban areas are related to new challenges or elements of development for urban landscape and urban economies. Frey and Zimmer (2001) describe factors, which affect urban places and cities: x Ecological elements (Size of the population; Density of the population; Space)\ x Economic elements (Economic functions; Labor supply and demand; Transportation; Economic organization) x Social elements (Social organization; Social character) x Administration. To analyze Liepaja’s industrial development and to compare it with common urban development tendencies, authors will use Frey and Zimmer four-factor method. For researching industrialization and urbanization processes authors have used different source literature – starting from the 20th century beginning and concluding with the latest editions on Liepaja’s architecture research. But to provide systematic analysis of creative economy planning and implementation in Liepaja, authors will use Greg Richards and Julie Wilson (2007) framework that offers cultural and creative hardware, software and orgware. Liepaja’s development plans and latest economic statistics are used and analyzed to describe city’s creative economy potential.