Social Economy – Added Value for Local Development and Social Cohesion

Abstract

This paper adresses the social economy and its importance for the local development and social cohesion. Note should be taken that the social economy arises at confluence between the business field and the social field, insofar the social economy's primary aim is not the profit making but the stakeholders’ welfare and socio-economic inclusion. This paper shall tackel primarily the added value of social economy, which shall be considered in terms of social and economic benefits for local development and benefits related to sistemic and institutional modification. Documentary research shall be used as a method in order to assess the added value of social economy for local development and social cohesion. The social economy contributes to developing a social cohesion-generating economy forming new mentalities for the local social-economical environment. Main definitions proposed for social economy and main financind sources relevand for the Romanian social economy development shall be reviewed. The three main categories of social economy stakeholders shall be analised: public authorities, third sector, and businesses. Conclusions shall be drawn related to social economy's implications for society and general economy.

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