Economic Regionalization

the demarcation on a national scale of economic regions that have formed or are forming in accordance with the territorial social division of labor (seeDIVISION OF LABOR). Under socialism, a scientifically grounded economic regionalization is a necessary instrument of national economic planning by territory and is an important condition for improving the territorial organization of productive forces and economic management.

Economic regionalization is an effective method of management and an important factor in correctly combining territorial planning with the sectoral principle of management, in ensuring the rational location of productive forces, and in regulating the specialization and integrated economic development of economic regions in order to bring about every possible increase in the efficiency of social production (seeECONOMIC REGION, LOCATION OF PRODUCTIVE FORCES, and TERRITORIAL-PRODUCTION COMPLEX).