Document Type : Research extracted From projects
Authors
Department of Social Planning, Faculty of Social Science, Allameh Tabataba'i University, Tehran, Iran
10.22034/jsc.2025.500248.1829
Abstract
A B S T R A C T
Structural adjustment policies were a controversial topic in the 1980s. Through these policies and also financial supports, international institutions tried to assist developing countries.While some view these programs as a cause for economic growth, others argue them as responsible factors for numerous negative social and economic consequences. This study aims to evaluate the effects of these programs, particularly in urban areas. This research is applied and employs a descriptive-analytical methodology, specifically utilizing content analysis. Initially, the concept of structural adjustment policies and their indicators were defined and formulated based on literature. Subsequently, questionnaires were sent using the Delphi method, selected through purposeful sampling. Finally, to prioritize and assess the effects, the structural impact analysis method was applied using MicMac software. The findings categorize the effects of implementing these programs into four distinct areas: economic (formation of an informal economy, increased competitiveness, rising property prices, and changing economic roles of cities), socio-cultural (increased rural-urban migration, rising urban poverty, inequality and social deprivation, and reduced social services), spatial (horizontal expansion of cities, expansion of peri-urban areas, and changes in land use), and environmental (increased vulnerability of cities, development of informal settlements vulnerable areas, and reduced food security). Among these identified effects, horizontal expansion of cities, the formation of an informal economy, and changes in the economic roles of cities were considered as the most significant factors. Therefore, recognizing these effects and implementing appropriate measures in urban decision-making and policymaking can help mitigate the impacts of these programs.
Extended Abstract
Introduction
Structural adjustment policies were one of the most controversial topics of the 1980s. These policies were implemented by international institutions, such as the International Monetary Fund (IMF), the World Bank, and regional development banks, in exchange for financial resources to assist developing countries. These reforms typically emphasize four general prescriptions: stabilization, liberalization, deregulation, and privatization of the economy.
The implementation of structural adjustment programs in developed countries has differed from that in developing countries. In some countries, economic adjustment has led to increased urban growth and the promotion of the role and status of cities, while in others, urban expansion has been accompanied by issues such as poverty and inequality, land speculation and land expansion, and a decline in the quality of life. Therefore, while these programs can cause economic growth and increased urbanization for cities, they can also lead to deprivation and inequality, increased poverty, environmental degradation, and other negative consequences. The main goal of this research is to answer the question: What effects have structural adjustment policies had on cities?
Methodology
This research is applied in terms of purpose and descriptive-analytical in terms of its nature and method, utilizing content analysis. A library-based method was employed to collect information, along with documents and databases on the subject. According to the research objectives, the structural adjustment policy was first defined, and its indicators and components were compiled using content analysis techniques.After determining the indicators, their effects were identified through further content analysis. Finally, based on the Delphi method, a group of approximately 20 experts (university professors and field specialists) was selected through judgmental or purposive sampling. The criteria for selecting experts included theoretical expertise, practical experience, accessibility, and willingness and ability to participate in the research. These experts were chosen in a way to ensure the comprehensiveness of the viewpoints. For information processing, the structural interaction analysis method was used in MicMac software.
Results and discussion
The result of the interaction effects of 14 factors is formed based on the 14*14 matrix in four dimensions (economic, socio-cultural, physical and environmental). The findings indicate a repetition rate of 2 times and a saturation degree of 88.775%, which indicates that the selected factors have a great influence on each other. Of the total 174 evaluable relationships in the matrix, 22 relationships have a value of zero (factors do not affect or are not affected by each other); 46 relationships with a value of one have a weak influence on each other, 35 relationships with a value of 2 have relatively strong influential relationships, and 93 relationships have a value of 3, which means that the relationships between factors are many and have high effectiveness and influence. Also, in this system, the variables are mostly target and risky, so they are unstable systems.
Among the 14 factors examined in this study, several factors have had the most significant effects on cities, according to experts. These factors include the horizontal urban growth in the risk area, the formation of the informal economy, and the changing economic role of cities which have high impact and low impact.
Conclusion
The findings indicate that the effects of implementing these programs fall into four categories: economic (formation of an informal economy, increased competitiveness, rising property prices, and changing economic roles of cities), socio-cultural (increased rural-urban migration, rising urban poverty, inequality and social deprivation, and reduced social services), spatial (horizontal expansion of cities, expansion of peri-urban areas, and changes in land use), and environmental (increased vulnerability of cities, development of informal settlements vulnerable areas, and reduced food security). Among these identified effects, horizontal expansion of cities, the formation of an informal economy, and changes in the economic roles of cities were considered as the most significant factors.
Examining the effects of implementing structural adjustment indicates that structural adjustment policies may have both positive and negative effects on urban development. On one hand, these policies may lead to austerity measures such as cuts in public spending on infrastructure projects, which can act as a barrier to urban development. On the other hand, structural adjustment policies may promote economic reforms that attract foreign investment and foster urban growth.
However, the overall impact on urban development will depend on various factors, including the specific policy measures implemented, the local context, and the effectiveness of governance in managing the changes resulting from these policies and the management and structure of cities. What is important is to identify these impacts and to take measures in urban decision-making and policy-making to mitigate them. There is also a need for integrated planning approaches that take into account the spatial impacts of structural adjustment on urban and rural development, encourage policies that promote equitable distribution of resources and strengthen local economies.
Funding
This work is based upon research funded by Iran National Science Foundation (INSF) under project No.4015999.
Authors’ Contribution
Authors contributed equally to the conceptualization and writing of the article. All of the authors approved thecontent of the manuscript and agreed on all aspects of the work declaration of competing interest none.
Conflict of Interest
Authors declared no conflict of interest.
Acknowledgments
We are grateful to all the scientific consultants of this paper.
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