Discussion Papers 2009. No. 74.
The Effects of the Information Society on Spatial Development
– Hungarian Case Study
CENTRE FOR REGIONAL STUDIES
OF HUNGARIAN ACADEMY OF SCIENCES

DISCUSSION PAPERS

No. 74
The Effects of the Information
Society on Spatial Development
– Hungarian Case Study

by
Ákos SZÉPVÖLGYI

Series editor
Zoltán GÁL

Pécs
2009

Discussion Papers 2009. No. 74.
The Effects of the Information Society on Spatial Development
– Hungarian Case Study

This paper is a shortened version of the PhD thesis of the author that has been
finished in 2008. The paper summarizes the main theorethical and empirical
results of the related research activities. To make all this investigations could not
have been taken without the valuable help of my two professors, namely Prof.
István Süli-Zakar DSc. and Prof. Viktória Szirmai DSc.

ISSN 0238–2008
ISBN 978 963 9899 19 3

© Ákos Szépvölgyi
© Centre for Regional Studies of the Hungarian Academy of Sciences

2009 by Centre for Regional Studies of the Hungarian Academy of Sciences.
Technical editor: Ilona Csapó.
Printed in Hungary by Sümegi Nyomdaipari, Kereskedelmi és Szolgáltató Ltd., Pécs.

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Discussion Papers 2009. No. 74.
The Effects of the Information Society on Spatial Development
– Hungarian Case Study
CONTENTS

1 Introduction ..................................................................................................................   5
1.1  What are we investigating? ...................................................................................   5
1.2  What were our objectives? ...................................................................................   6
1.3  How did we do our research? ...............................................................................   7
2  How do we evaluate information society as a theoretical issue? ..................................   7
2.1  What are the characteristic features of the emerging information society? ..........   7
2.1.1 The first wave ...........................................................................................   10
2.1.2  Second wave .............................................................................................   13
2.1.3  Third wave ................................................................................................   15
2.2  What impacts can we expect? .............................................................................   18
2.2.1  Inequalities in the information society .....................................................   19
2.2.2.1  Spatial relation systems in the information society .....................   21
2.2.2.2 Digital divide ..............................................................................   24
2.2.2.3  Core-periphery relations .............................................................   25
2.3  How can the outcomes be characterized? ...........................................................   27
3  What can be seen from our empirical results? ............................................................   30
3.1  How are the Hungarian micro regions progressing? ...........................................   30
3.1.1  The objective of the partial analysis .........................................................   30
3.1.2 Methodological background .....................................................................   31
3.1.3  Some major results ...................................................................................   35
3.2  How big cities are progressing? ..........................................................................   43
3.2.1  The background and the objective of the partial analysis .........................   43
3.2.2 Methodological background .....................................................................   44
3.2.3 Results ......................................................................................................   45
5 What
final
conclusions
can be drawn? .......................................................................   55
References ........................................................................................................................   57

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Discussion Papers 2009. No. 74.
The Effects of the Information Society on Spatial Development
– Hungarian Case Study
List of figures
Figure 1
The development scheme of the information society .....................................   11
Figure 2
The life cycle of information society .............................................................   18
Figure 3
The major factors of inequalities ....................................................................   28
Figure 4
The potential information society groups of Hungarian micro regions
based on a complex indicator system, 2006 ...................................................   36
Figure 5
The possible grouping of Hungarian micro regions based on the data
of factor 1, 2006 .............................................................................................   37
Figure 6
The possible grouping of Hungarian micro regions based on the data
of factor 3, 2006 .............................................................................................   39
Figure 7
Grants won from NFT I (National Development Plan) for the development
of information society (million HUF, as stated on 31 May 2006) .................   42
Figure 8
Internet supply in the metropolitan areas of Hungary (percentage of adult
population) .....................................................................................................   46
Figure 10  The evaluation of the efficiency of the different forms of interest enforce-
ment depending on the degree of integration into IS (percentage of adult
population) .....................................................................................................   49
Figure 11  The evaluation of the efficiency of the different forms of interest
enforcement depending on integration into the IS .........................................   52
Figure 12  The evaluation of different problems (listed as very important issues ...........   53
Figure 13  The utilization ratio of different services .......................................................   54
List of tables
Table 1
Learning region as a cognition process ..........................................................   17
Table 2
The correlation between global and local in information society ..................   22
Table 3
The base variables of the complex index system ...........................................   32
Table 4
The value of variables bound to the four factors and the values of factor
weights ...........................................................................................................   34
Table 5
Digital inclusion shown by social status indicator (percentage of adult
population) .....................................................................................................   47
Table 6
The evaluation of the importance of some aspects of local development
(issues bundled into a group of 5by importance) ...........................................   51

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Szépvölgyi, Ákos :
The Effects of the Information Society on Spatial Development – Hungarian Case Study.
Pécs : Centre for Regional Studies, 2009. 64. p. Discussion Papers, No. 74.
1 Introduction
1.1 What are we investigating?
The development of technology and economic restructuring permanently change
the general circumstances of economy and society and rearrange the general pa-
rameters of socio-economic environment. Today’s world economy now is also
undergoing such a transformation period which is clearly manifested by the emer-
gence of the information society (IS).
According to our present knowledge the currently formulating information so-
ciety has its impacts on spatial structure as well. The spatial differences of the
different forms of information and knowledge are increasing and the motives
behind spatial disparities are getting more and more complex (Meusburger, 1998
citing Berényi 2003, 101–102). These differences on the one hand are arising
from the fact that new technologies, organizational settings and jobs are inducing
new spatial disparities. Its primary reason is that peripheries have never served as
action centres of the spatial diffusion of knowledge and the spatial distribution of
the socio-cultural factors of development is not homogenous.
Although the time of information flow has significantly been shortened but the
recipient’s educational level, creativity and position in the social hierarchy are
still factors of key importance and bound to place, i.e. they are spatially differen-
tiated. This means that the elimination of distance does not necessarily decrease
the importance of space and the fewer are the obstacles arising from spatial dis-
tance, the greater is the importance of the other local factors, which means that
the role of comparative advantages and of the factors of spatial adaptation will be
revaluated (Rechnitzer, 2003).
Now it is unclear yet to what extent information society will affect spatial
structure (Erdősi, 1990, 1991; Rechnitzer, 1993, 2000; Nagy, 2002; Teller, 2000).
It is generally approved in literature that in Hungary this process runs at all the
levels of spatial hierarchy. Its major benefactors are cities, metropolitan areas and
medium-sized cities with extensive higher education system, diversified industrial
structure and advanced public services (Gillespie – Robins, 1989; Nagy, 2002).
On the other hand there is a general consensus that the peripheral elements of the
spatial structure are obviously in handicapped position.
Because of the high speed and the great complexity of the transformation
process the relevant complex analyses – unlike traditional researches on general
socio-economic development factors with wide-scale research results – have not
yet dealt with this issue in full coverage.
For social geography the above-mentioned phenomena mean not only a chance
for eliminating space. The emergence of information society – as a new research

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Szépvölgyi, Ákos :
The Effects of the Information Society on Spatial Development – Hungarian Case Study.
Pécs : Centre for Regional Studies, 2009. 64. p. Discussion Papers, No. 74.
problem – has become important not only as a functional utilization of space and
as a change in the patterns of social behaviour as a result but it also raises the
necessity of investigating the conditions of adaptation and of analysing its spatial
differences and cries for assessing their impacts and outcomes (Mészáros, 2003).
1.2 What were our objectives?
As it was earlier mentioned our research is targeted at assessing the spatial im-
pacts of the information society and at exploring the special features of the differ-
ent levels of settlement network and of the spatial organization system. We do
this on the one hand by starting from the assumption that individual settlements
and spatial units react in different ways to these processes and these differences
determine their long-term development perspectives as well. On the other hand
we also think that the position of areas undergoing different processes of socio-
economic development has been changed by the impacts of the emerging
information society as well. Regarding this our aim was to carry out an integrated
social, economic and technological analysis on those special features of
information society – as a social development paradigm – that are relevant to
spatial processes.
Considering these aspects our research objectives were set up as follows:
  First we are going to explore through an evaluation of the Hungarian and
international literature the characteristic features of the information society
as a social development paradigm, how its major factors have changed and
which of its major territoriality related impacts.
  Our next objective is providing a complex definitive analysis on the social
impacts of information society. This process will include a detailed survey
of core-periphery relations and of the characteristic features of the nodes of
development.
  And finally we are trying to answer the question what determines the
adaptive skills of the different regions. Within this set we are going to
identify the major differences between the adaptive skills of regions with
differing socio-economic background.
Following the above-defined research objectives this paper can be divided into
two major parts. The first part explains the theoretical concepts and the socio-
economic impacts of the information society through the survey of international
(preferably English-American and German) literature. In the second part we are
going demonstrate some empirical results.

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Szépvölgyi, Ákos :
The Effects of the Information Society on Spatial Development – Hungarian Case Study.
Pécs : Centre for Regional Studies, 2009. 64. p. Discussion Papers, No. 74.
1.3 How did we do our research?
When carrying out the preparatory studies of this paper we applied a wide range
of the instruments of social science research which included methods applied in
social geography, sociology, regional science and regional statistics.
For the theoretical foundation of the research topics we summarized and
evaluated the results of the international and Hungarian literature through apply-
ing a predefined set of criteria. Meanwhile we were also concentrating on clari-
fying the interpretations, the spatial impacts and the outcomes of those aspects of
information society which were emphasizing spatial aspects. The methods applied
in the empirical research – which will be presented in details in the relevant
chapters – are originating from two sets of sources.
The first set of sources includes a one and multi-variable data analysis based
partially on data collected from the Internet and partially on our own dataset ana-
lysed by using the SPSS software. The second research method included ques-
tionnaires and interviews and the processing of their results. The second set of
resources consisted of the individual partial research instruments provided by the
Central Transdanubian Research Group of West-Hungarian Research Institute
CRS HAS (MTA RKK NYUTI KDKCS) and partially from the joint research
programme implemented with the Sociological Research Institute HAS between
2001 and 2006.
2 How do we evaluate information society as a theoretical issue?
2.1 What are the characteristic features of the emerging information society?
The emergence of the information society is an outcome of a series of long-term
technological and structural changes. In broader sense it means the globalization
of manufacturing, services and media industry as a result of the development of
information and communication technology and also a changing lifestyle, a dif-
ferent way of personal contacts in community while in narrow sense it means a
technology change driven difference in social development paradigm comple-
menting socio-economic development (Fodor, 2000).
The change of industrial society into information society starting in the first
wave from the 1960s for the free generation, spreading and utilization of knowl-
edge (McLuhan, 1964), was based on the simultaneous rapid development and
wide-scale integration of telecommunication, computer technology and media
industry (Nagy, 2004).
The literature is not homogenous regarding the naming of this process, as –
emphasizing different aspects – several alternative terms exist for the definition of

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Szépvölgyi, Ákos :
The Effects of the Information Society on Spatial Development – Hungarian Case Study.
Pécs : Centre for Regional Studies, 2009. 64. p. Discussion Papers, No. 74.
this paradigm of social development.1 For labelling these extensive socio-
economic changes the terms ’information society’ and „knowledge society’, car-
rying a partially different meaning, are used the most commonly (Nyíri 2000).
The meaning difference between information and knowledge society has neither
been clarified. However the majority of authors agree that the two phenomena are
built upon each other. In our paper we are going to use the term – information
society. We do this because the component factors of information society are at
an early development stage yet and even in countries with advanced economy the
technical conditions for accessing to knowledge on wide scale are not yet pro-
vided, the degree of democratisation is below the desired level, only some ele-
ments of the liberal network-based economy are functioning and an efficient edu-
cation system has still not built up yet (Faragó, 2003). Thus, today information
society refers to such a socio-economic environment where transformation is ini-
tiated by the development and spread of modern, electronics based information
and communication technologies (ICT)2 and this increases the importance of pos-
sessing information. This rhymes with the opinion of OECD regarding the phe-
nomena of information society very important elements of globalization (OECD,
1996). This means that the main driving forces of globalization are the develop-
ment of information and communication technologies – which create a basis for
IS as well – the intensification of world economy, the wide-scale growth of mar-
ket economy and the expansion of super-national level democratic institutions.
On the basis of the mainstream dimensions of social changes several research-
ers have attempted the conceptual clarification of the term: information society
(Farkas, 2002; Scheinstock  et al. 1999). The papers analyzed are differentiating
(or naming) the conceptual categories of information society as follows. At the
same time they are also marking what social development phase is followed by
the IS:
  information economy (it is based on Machlup’s theory of knowledge indus-
try and regards employing in new industries as the milestone of the age of
information society),
  post-industrial society (its major model-maker is Daniell Bell speaking of a
multi-dimensional social change and prognosticating an evolutional (non-
radical) socio-economic transformation),

1 Among the appoved by the broader scientific community terms there are such labels as
technotronic society (Brezinsky), intellectual technical society (Danzin), dual society, information
mode of production (Castells), global village (McLuhan), third wave (Toffler), education
revolution (Drucker), wired society (Martin), personal society (Halmos), fifth Kondratev-cycle
(Freeman).
2 Later on we well provide a more detailed explanation of the notion of ICT, but here we would like
to mention that by this denomination we mean a collective term of technical devices, checking
techniques, media, organization modes and economic activities.

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Szépvölgyi, Ákos :
The Effects of the Information Society on Spatial Development – Hungarian Case Study.
Pécs : Centre for Regional Studies, 2009. 64. p. Discussion Papers, No. 74.
  the end of industrial labouring society,
  scientific society (by Berényi’s [2003] interpretation this means that science
will be present in all the fields of social activities and by pushing out the
traditional forms of learning knowledge will become a direct force of pro-
duction and the legitimate basis of power will stand on the possession of
special knowledge),
  information-based industrial society (it considers the spread of ICT as a ba-
sis for economic (and social) changes, though it is clearly tending to empha-
size the role of information instead of ICT),
  learning society (it is most clearly described by Castells stating that learning
by activity and interaction (within individual and institutional framework) is
the most important element).
Bearing all these in mind Farkas has created the – generally approved – defi-
nition of information society which we also regard as a starting point. By this
interpretation we can speak of a new form of social organization where the pro-
duction, selling and application of information are the major sources of produc-
tivity and power (Farkas, 2002). This definition on the one hand is built upon the
new type of society envisaged by Yonei Masuda of which transformation and
development is generated by the utilization of the power resources of information
(Masuda, 1988). On the other hand it is also based on Manuel Castells’ interpreta-
tion stating that this is such a society which organizes itself on knowledge with
the purpose of managing social control, innovation and changes.
The definition of Z. Karvalics László may also be regarded as a major one for
the definitive standpoint of analyses approaching the scientific term of informa-
tion society from six aspects (Z. Karvalics, 2002). On the first place he speaks of
information society which by Naisbitt’s comprehension started in the USA by
increasing the rate of workers in the information sectors over 50% and marks only
an economic change of period. On the second place here also appears the image
of post-industrial society which according to Bell’s (1973) opinion means the
suppression of traditional power resources. On the third place the new social im-
age and idea is emerging. The major author of this theory is Yonei Masuda envis-
aging communities of new type (or rather the transformation of the existing com-
munities), a change in values and in the basic attitudes towards environment. On
the fourth place an application attitude is coming up in which the changing or-
ganizational mode of economic activities, the emergence of network systems and
the spread of new consumer habits are the key elements. The professional politi-
cal attitude can neither be disregarded stating that economic and technological
processes combined by social planning will create an information society even in
short-term perspective. And finally we must mention here Stehr’s (1994) defini-
tion saying that the new international operational mode of science and knowledge
lead to information society.

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Szépvölgyi, Ákos :
The Effects of the Information Society on Spatial Development – Hungarian Case Study.
Pécs : Centre for Regional Studies, 2009. 64. p. Discussion Papers, No. 74.
The emergence of the new paradigm of social and economic organisation is
due to several factors (Gervai et al. 1999). The first is welfare society having been
established in the USA and West-Europe after the Second World War (particu-
larly due to the freedom of consummation and motorization). The second in
timely sequence as well factor is computerization (technological revolution) [Butt
2004]. Its scientific link points are defined by Toffler (1970) and Bell (1973).
They both envisaged a technology-based social norm defining radical change. The
third set of factors is the access to communal and social level information, the
democratization of IS which has been evolved by the emergence of Internet. This
by Lamberton’s (2002) opinion is extended by a change in the economic actors’
decisions and market positions. It is followed by the transformation of global
social systems which prognosticates the emergence of postmodern society (Cas-
tells 2005). Beyond these its determinants are globalization, new products and
services, labour organization processes and a bilateral communication communi-
cation with the sources of information (Barabási, 2003).
From theoretical aspect we consider the process character of IS to be the most
important. We are starting from the assumption that the development process of
information society as a social development factor can be divided into partially
overlapping by timely and content aspects but by approach method clearly distinct
development stages. By our model the process consists of three (separated by
quantitative and qualitative aspects) waves (Figure 1).
By this interpretation IS has shifted from primarily quantitative elements to-
wards qualitative aspects, and from a simple towards a complex system. Natu-
rally, the basic dimensions shaping the individual waves are not clearly separated
from each other; they still ’exist’ and develop in the next wave. In the following
part of my paper I am going to demonstrate the characteristic features of the three
development stages.
2.1.1 The first wave
The definition of the first wave of information society in literature is following a
two-dimensional approach. The relevant scientific definitions on the one hand are
emphasizing the importance of technology, i.e. their approach has a strong tech-
nocratic character. On the other hand they are primarily economy-oriented, i.e.
they consider the sectoral restructuring of the economy (post-industrial period,
tertialization) the major element of IS.3 It should be emphasized that the ideas of

3 Naturally the representatives of the first wave marked several other processes as important but these two
dimensions are serving as a basis for their viewpoints. This is verified by the fact that the early researches of
information society prognostified a change freeing human creativity, enabling free decisions and everyone are
free to express their opinion and technology will enable the expansion of choice alternatives and the
introduction of a democratic communication system (Splichal, 1994).

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Szépvölgyi, Ákos :
The Effects of the Information Society on Spatial Development – Hungarian Case Study.
Pécs : Centre for Regional Studies, 2009. 64. p. Discussion Papers, No. 74.
the first wave are associated with the forecasts of positive changes only. This – by
our present-day knowledge – is a rather disputable and oversimplified viewpoint
in the current technological and economic settings.
Bell (1973) is on the opinion that industrial society can be characterized by the
dominance of machine technology while (after his naming) post-industrial society
can be described by the dominance of intellectual technology (information and
knowledge). By this statement he re-defined the relationship of technology and
society where the dominance of goods manufacturing is replaced by the domi-
nance of services, the systematization of theoretical knowledge has a key role in
technical innovations and intellectual technology is evolving. At this stage human
services can be regarded as key processes (such as public health and education)
with such professional services as research-development or demands for system
analysis (Mattelart, 2004, 87; Johnson et al. 2000).
However it was not Bell who first prognostified the necessity of paradigm
change, i.e. the new post-industrial way of the change of society. Clark already in
1951 visualized the „age of services”, as the newest period of social development.
But Fritz Machlup (1962) also emphasized the increasing socio-economic role of
information and named five ’industries’ as the major areas of change (cited by
Cohen et al. 2000). They are education, R&D, communication media, information
technology devices and information services.
However it was Masuda the first to identify information society as informa-
tion-oriented public utility or a global communicational network (Masuda, 1988).
With this relevant the approach stating that IS is such an ICT-based global com-
munity (consisting of organizations and individuals) where the members are
building, developing and using the ICT (Brachos  et al. 2005, Freeman, 1994).
Neproponte’s technology-oriented viewpoint also agrees with this idea but does
not prognostify extensive spatial and social impacts (Negroponte, 2003) and other
authors also agree that ICT itself may become a catalyst of globalization (Archi-
bugi  et al. 2000). Today we can definitely state that these approaches are only
partially suitable for identifying the real processes. This is explained by the fact
that the evolution of information society is not driven by technology but rather
facilitated by ICT only.
Of the Hungarian researchers Ferenc Erdősi also approached information soci-
ety from the side of technology and he identifies it as telecommunication com-
bined with informatics. By this interpretation on the basis of the technical devices
and of the informational integration of telecommunication he differentiates tradi-
tional telecommunication and telematics (Erdősi, 2002). He is on the opinion that
advanced communicational networks support the division of labour, spatial spe-
cialization and the increase of productivity (Erdősi, 2002, 88). The author inter-
prets the spread of ICT as a new Kondratyev cycle (post-industrial wave) which
differs from the previous one in such a way that it changes the flow of informa-

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Szépvölgyi, Ákos :
The Effects of the Information Society on Spatial Development – Hungarian Case Study.
Pécs : Centre for Regional Studies, 2009. 64. p. Discussion Papers, No. 74.
tion instead of the spatial movement of people and assets (Erdősi, 2002; Berényi,
2003).
All of the above-listed approaches are common in describing a new paradigm
which is based on information and is associated new technologies have an impact
on all of human activity (economic, social etc.) and it uses the network logic of
systems, it is based on flexibility and creates integrated systems. However today it
is still disputable whether the development of ICT is an outcome or precondition
or in other words what the relationship is between ICT services and socio-
economic development (Borsos, 1997). Yet it is also unclear whether this process
will be expanded to the peripheral zone of world economy as well (Szalavetz,
2002). We firmly state that the competitive advantages of core areas (and the
stable handicapped position of peripheries) can clearly be seen as the traditional
economic environment is unsuitable for the present process of technological de-
velopment as it would require such a socio-economic structure which – just as
core areas – would be suitable for a flexible and continuous organizational ad-
aptation to the constantly changing environment (and this is taking us to the sec-
ond and third waves of development).
2.1.2 Second wave
The approaches related to the first wave had such aspects which demand a com-
plex evaluation. By our opinion they are questioning not the validity of the earlier
approaches related to the first wave but rather their exclusivity. We think that the
today still dominant second wave is prognostifying wide-scaled social changes
concentrating on the emerging spatial and social differences. With this – in a
right way – it emphasizes the necessity of evaluating both the positive and nega-
tive impacts and consequences and also the necessity of calculating with the indi-
vidual, economic, social and spatial features.
Naisbitt (1982) using information society for the first time as a concept defines
10 complex processes determining the process of world economy and social
structure of which the problem of IS is a part of. Naisbitt thinks that the theory
stating that the new social norm can be bound to the growth rate of jobs in the
servicing sector is wrong as it does not initiate changes but it is rather due to the
fact that the majority of employees use information for their work.
Anttiroiko in a similar way to Naisbitt’s approach differentiates several main
(globalization) trends (Anttiroiko, 1998). By his theory information society as an
important slice of globalization is an outcome of various changes such as the
emergence of global economy, technological development, the spread of ’instru-
mental’ networks, changes in culture and identities and of the challenges of sus-
tainable development. These changes together are building up the information
society. The development of technology reduces temporal and spatial determi-

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Szépvölgyi, Ákos :
The Effects of the Information Society on Spatial Development – Hungarian Case Study.
Pécs : Centre for Regional Studies, 2009. 64. p. Discussion Papers, No. 74.
nance and organizational changes increase organizational flexibility. Furthermore
local community and cultural linkages are weakening and following the changing
patterns of consummation will result in the transformation of physical environ-
ment. We must emphasize here that the reshape of local communities can only
partially be regarded as a positive phenomenon. It has such negative impacts as
individualization or a complete exclusion of certain social groups (May, 2002).
At this stage of development the role of non-material resources in the mainte-
nance or even in increasing the dynamics of development will further increase. Of
them the role of skills, know-how and professional education level can be empha-
sized. Under this set of circumstances knowledge turned to be the major driving
engine and learning (principally in the third wave) turned to be the dominating
process (Castells, 2005; Druckner, 1998; Lundvall – Johnson, 1994). Within this
framework the present socio-economic development process is driven by three
factors. The first is the development of info communication technologies, the
second is the intensification of specialization and the third is the change in the
character of innovation processes.
Castells (2005) who can be regarded as one of the main theorists of our age
specifies the current process as the information method of development. Accord-
ing to this theory the main source of development is the quality of knowledge
determining the way and the place of the utilization of tangible assets and the
growth of social capital (Anttiroiko, 1999; Savage, 1995; Rheingold, 1993). By
Castells’ opinion IS is nothing else than a new type of human coexistence in
which the generation, storage and exchange of information play the key role. The
informational mode of development in its approach means a fundamental change
in the characteristic features of development in which the change of production
has an extensive impact on social structures as well. Thus, information society all
in one is marking such a social formation where the informational mode of devel-
opment determines the allocation resources, the growth of social capital and the
exploitation possibilities of intellectual potentials. In this approach information
society is built on three components: infrastructure, demand and knowledge
(Alföldi, 2006).
We also emphasize that the economic and regional science related approaches
of innovation become parts of the definition of IS in just this development phase
(which will be the elements of the third wave). According to their interpretation
the primary objectives of learning, science policy, technology and innovation are
generating and disseminating knowledge (Drucker, 1993). In the last decade of
the above mentioned components learning and knowledge as the driving engines
of economic development were paid special attention. It is very important that
researches have different opinions on the role of ICT in this process. The majority
are on the opinion that data and information transferred by the means ICT do not
necessarily generate new knowledge. This means that data and information cannot

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Szépvölgyi, Ákos :
The Effects of the Information Society on Spatial Development – Hungarian Case Study.
Pécs : Centre for Regional Studies, 2009. 64. p. Discussion Papers, No. 74.
be identified alone but only in the context of their background settings (Lundvall
– Johnson, 1994; Scott, 2000).
Analysing this period Hungarian literature emphasizes that technological de-
velopment alone does not take us to the content elements of information society.
Its intensive spread and turn into a paradigm can be implemented only by the
improvement of adaptive skills (Csatári – Kanalas, 2002). Besides this – by refer-
ring to complexity – it is a key factor that accelerated technological changes, the
spread of activities demanding a higher intensity of knowledge, the key role of
ICT, the rapidly changing demands of labour market and the increasing need for
cooperation are the major features of this new process (Nyíri, 2001). In sociologi-
cal sense we can speak of such a model of social organization which uses a large
quantity of and cheaply accessible information with much higher intensity in a
wider sphere and applies much more effective data transfer technologies than the
earlier ones (Tamás, 2001, 43).
2.1.3 Third wave
According to our theory the difference between the second and the third wave
means that the management of information – as it builds adaptive skills – be-
comes more important than its access (Sui, 2000; Lambooy, 2000, 2002). This
means a creative use of information which yields added value. Thus 'the skills of
quickly finding relevant information creates competitive and cultural advantages'
and 'the knowledge and group of skills authorizing for this are very important
value making elements' (Jeffrey, 2003, 63). We are on the opinion that this de-
mands the building and operation such complex socio-economic systems which
can be described by using the theory of learning region and network models –
pointing towards knowledge society.
Thus, we think that the realization of the learning region concept can lead us
to the implementation of the objectives of information society. This means a kind
of organizational learning (in this aspect it completely differs from the economic
approaches based on individual decisions) and can be realized through the inter-
action of society, culture, legal norms and economic structures (Kocsis – Szabó,
2001, 14). Proceeding from this assumption its objective is strengthening – not
primarily virtual – local communities, the improvement of living conditions both
in economic and social aspects (Towards... 2000).
These processes are investigated by economic geography, regional science as
well as economics (Maskell et al. 1998; Storper, 1995; Hudson, 1999). The analy-
ses are focused on the research of knowledge and the features of its dissemination
(Giddens, 2005). One of the starting points of the learning region is that the gen-
eration, transfer and use of information and knowledge as their product are not

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constant so they demand continuous renewal from the different actors of learning
(firms, regions) (Szabó [1999] emphasizes its evolutional character). Thus, pro-
ducing non-material resources serving as the driving engine of economic growth
(skills, know-how, working methods etc.) is not a single process it demands a
continuous learning and knowledge updating process (Maillat  –  Kebir, 1999;
Lundvall – Johnson, 1994). It is important that acquiring learning skills is indis-
pensable not only for enterprises and R&D organizations but for economic struc-
ture, organizational forms and institutional systems as well (Szabó, 2004). It
should also be mentioned that unlike globalization decreasing the role of general
territoriality, the dissemination of knowledge requires personal interactions
which means that the role of localization will not decrease.
Another basic element of the learning region concept is that economic devel-
opment depends on innovation but innovation is determined by a continuous gen-
eration, dissemination and exploitation of knowledge. This latter can be regarded
as a learning process which has a strong territorial determination) Boekema et al.
2000, 3). Cooke (2001) in this aspect considers learning region as a dynamic con-
cept based on the extension of learning skills and knowledge base.
A very important element of the concept is that innovation-oriented regions
may only be successful if they have appropriate organizational background and
cooperativity. This means that its organizational patterns are different from the
'traditionally' developing regions (Szathmáriné, 2002). Their special feature is that
the implementation of objectives is followed by a definite strategy and the organ-
izational structure of planning and development is less hierarchical. Besides they
can be characterized by the involving and consultative nature of organizational
culture. They also can be characterized by the distinctive role of silent knowledge.
It is strongly bound to the given social and cultural system which works only in
neighbourhood relations (Geenhuizen – Nijkamp, 2000, Lengyel, 2004).
By  Asheim's (1995, 2001) theory the emergence of learning regions brings
about the transformation of industrial regions and the change of the economic
structure.  Florida (1995) is contrasting mass-product manufacturing region
against learning region and differentiates them by linking production systems, by
the knowledge worker based human resources, by the higher appreciation of the
role of lifelong education, by the development level of communication infra-
structure and by the global integration of the economy. Learning in this context is
a local activity which has a significant historical embedment (Asheim – Isaksen,
2000). It is also important that learning regions may be formulated as a combina-
tion of collective political decisions and bottom-up initiatives (local communities,
chambers, risk capital companies, educational and R&D institutions and munici-
palities) (Isaksen, 2001). Regarding this learning regions are functioning as col-
lectors of ideas and knowledge and they provide the necessary conditions and
infrastructure for the knowledge transfer and learning (Florida, 1995).

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Learning regions as a whole can be regarded as a cognition process (Capellin –
Orsenigo, 2006). The parameters of this cognition process are listed in Table 1.
The end of the cognition process is an area's transformation into a learning re-
gion. The success of this process is determined by several factors. Of them the
major one is a consensus among local actors which because of the collective char-
acter of learning is important and in optimal case it is coupled by confidence and
trust (Morgan, 1997). The networked character actively supporting the flow of
knowledge is also important as well as the possibility of knowledge transforma-
tion (Krackhardt – Hanson, 1993). According to our hypothesis the learning re-
gion model in Hungary is represented only by a few elements. This is true even if
knowledge regions (Lengyel, 2006) are meeting the necessary criteria in several
aspects. Significant results have been achieved especially in the fields of govern-
mental and market-based R&D, of demand-driven professional training and of the
establishment of economic clusters. However the cooperation between market and
non-profit actors is unambiguously weak which is coupled by negative residential
attitudes. Our empirical research analyzed the features of the development process
experienced in this field as well.
Table 1
Learning region as a cognition process
Elements of cognition process
The spatial parameters of cognition process
Types of external stimuli
The new demands of local ’market’, demands for
problem solving
Intensity of externel stimuli
Low cognitive distance, perception of ’weak signs’
Searching for coherences and integration and
Integration into local environment
the adaptation process
Searching for additional resources of power
Metropolitan diversity and the satisfaction of
special demands driven by industrial specialization
Interactive learning as a key of knowledge
Local networks
generation
The outstanding role of institutions in
Values, norms, trust, local social capital
knowledge generation
Source: Capellin – Orsenigo 2006.

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2.2 What impacts can we expect?
On the basis of the above-described conceptual approaches the possible socio-
spatial impacts of IS can be defined by three key terms: ICT – inequalities – net-
works. Our approach method is based on the life cycle and on the peculiarities of
the development process of information society (Figure 2).
Figure 2
The life cycle of information society

Source: Sciadas, 2005.
Preparation as the lowest stage of development means the building of the in-
frastructural, professional political and regulatory background (in this chapter we
are analysing the first stage only, all the others are described in details in a sepa-
rate chapter). This development stage is characterized by a process where ICT
lays down the foundations for building the information society and provides free
and equal access to information (Brachos et al. 2005). This is followed by the
period of intensification with wide-scaled utilization, application and content de-
velopment. This is the period of increasing inequalities in several aspects which is
preferably analysed by the theorists of the second wave of information society.
These theories envisage certain social, economic and spatial dichotomies which
verifies the fact that we cannot speak of a ’new society’ but only of new type par-
tial societies (May, 2002). These peculiarities will be demonstrated by the pres-
entation of the characteristic features of inequalities with special regard to core-
periphery relations, digital divide and the spatial relation systems of information
society.

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And finally we perceive the growing economic and spatial impacts of the
process where a continuous adaptation turns into a key process (Sciadas, 2005).
By our viewpoint the integral part of adaptive skills by shaping temporary or con-
stant communities of interest and networks can be regarded as a new economic
and social formation (among others Maskell  et al. 1999; Castells, 2001; Butt,
2004; Malecki, 2002).
2.2.1 Inequalities in the information society
One of the key issues of the scientific discourse led on information society is
whether information will be accessible for everyone regardless to geographical
position and social status or it will rather increase socio-spatial disparities and
generate a new type of inequalities.
The international deconcentration theories of information society (first wave)
anticipated decreasing traditional spatial differences and geographical determina-
tions (Masuda, 1988; McLuhan, 2001). A similar future was depicted in the EU’s
plans of development policy (EU 1994 – Bangemann Report) prognostifying the
realization of digital democracy. In relationship with this approach with the op-
portunity of transferring information, products and services through electronic
networks the issue of the elimination of distance was raised (Caincross, 1997) or
the end of geography as a development trend (Gillespie et al. 2001). By this inter-
pretation the new processes create an opportunity for a quick closing up. On the
whole these approaches started from the assumption that a decreasing gap can be
expected in the traditional dimension of territorial inequalities (such as between
metropolitan and rural areas) within the information society and hoped the activi-
zation of peripheries (such as the structural regeneration of industrial crisis re-
gions) from the new processes (Erdősi, 1999).
But in contrast to these expectations in the present phase of development so-
cial cohesion or isolation cannot significantly be influenced by the development of
information technologies alone, as it depends on the stage of social development
as well (Castells, 2005). This means that the development of information tech-
nologies cannot facilitate regional development alone because it is influenced by
the recipients’ activity, the educational and research background and the eco-
nomic milieu as well (Cornfold,  2000). This approach is supported by another
opinion stating that the elimination of physical distance does not devaluate the
role of space, yet on the contrary the less obstacles arise from physical distance
the greater importance is attached to the other features of spatial locations and this
will re-evaluate comparative advantages (Rechnitzer, 2003).4 Castells and Jacobs

4 By these judgements ICT plays a catalysing role only which means it is reinforcing ’traditional’
processes.

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are also pointing out that an area is unable for preserving its competitiveness
without an efficient utilization of its own resources (Castells – Hall, 1994).
For us Castells’ interpretation visioning a radical polarization of social proc-
esses within his idea of dual society seems to be the most acceptable. His theory
elaborated principally for metropolitan areas is built on several levels of polariza-
tion. It comprises the levels of access-utilization, of necessary skills and of the
types of labour. Another part of the current researches considers differences in
economic development as the primary reason of rising inequalities on macro-level
(Hargittai, 1999; Rodriguez – Wilson, 2000; OECD 2001).
Inequalities by Castells and other authors can be interpreted in several dimen-
sions. Exclusion is the mostly typical phenomenon amongst the unemployed, the
rural, the unskilled, the old generation, the refugees, the minorities and the handi-
capped (Donelly, 2000). However in this question we rather agree with Pippa
Norris (2001) who considers income, age, sex and education as further differenti-
ating factors. We also consider geographical location a primary factor of differen-
tiation including the core-periphery and city-village divide (e-Inclusion 2001).
Hungarian researches produce similar results. Gender-based differentiation has no
significance both in the intensity of knowledge and the time spent for learning
(Lengyel, 2003). However settlement type, education level, age and the number of
children are very significant differentiating factors (Csepeli – Prazsák, 2003). In
Hungary besides the above-listed ones social restructuring following the regime
change and the emerging structural divide are also substantial factors of increas-
ing growing inequalities. Its major element is that underclass has been excluded
from the institutional facilities of the acquisition of knowledge (Gazsó, 2001).
Béla Beszteri – as an addition to these thoughts – calls attention for the contradic-
tions of the new processes. He emphasizes that information society is one of the
most (in a positive way) fundamental processes changing both the global society
and economy of the 21st century but it has not only winners but also losers. By
his theory treating education and culture as ’investments’ is one of the major re-
sources of problem (Beszteri, 2002). We assume that these factors generate a
multi-level hierarchy of inequality system (core-periphery relationship, digital
divide).
In Hungarian scientific literature – although opinions are differing concerning
whether the spatial structure of information society can turn to be a changing
factor (Erdősi, 1990, 1991; Rechnitzer, 1993, 2000; Nagy, 2002; Teller, 2000) – It
is generally approved in literature that in Hungary this process is taking place at
all the levels of the spatial hierarchy. Its major benefactors are cities, metropoli-
tan areas and medium-sized cities with a significant higher education system,
diversified industrial structure and advanced public services (Gillespie – Robins,
1989; Nagy, 2002). This is verified by the fact that knowledge-based industries
are also tightly bound to such social surplus which others cannot achieve else-

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where (Bod, 2000). Another evidence for this hypothesis is that advanced busi-
ness services are favouring urban or rather metropolitan areas in their site selec-
tion policy and this will clearly result in a long-term preservation of spatial dis-
parities (Raffay, 2004).
Starting from the above described macro-level processes – for the sake of de-
fining inequalities – this chapter is going to provide a detailed definition of the
present spatial dichotomies, it discusses the interpretations of digital divide and
presents the new types of core-periphery relations.
2.2.2.1 Spatial relation systems in the information society
The complexity of inequalities by our opinion can be described by three pairs of
concept. They are global and local, polarization and integration and concentration
and deconcentration.
Globalization and localization
Some researches in the global-local discourse are opposing the two processes
and consider localization as a kind of response, counter action (Robertson 1995,
Beszteri 2001, 6–7). On the grounds of our research experiences we cannot ap-
prove this theory; we rather believe that the two processes are following rather an
analogue pathway. Globalization is not only something coming from outside
forcing its will onto local players assuming a passive way of behaviour of the
local players but it is rather a historically changing process based on the interac-
tion of global and local mechanisms, on the bilateral relationship and communi-
cation of global and local actors (Szirmai et al. 2002a). Thus, it is very important
that globalization involves the reinforcement of local processes as well
(Rechnitzer, 2003; Tóth, 2004). The higher appreciation of localities increases
mostly the importance of small communities and favours the strategy of bottom to
top schemed composition (Nagy, 2004).
The above described phenomenon named as glocalization in scientific litera-
ture is very typical in the present development stage of information society
(Varga [2004] uses the terminology of globlocal world). The term of glocalization
in general sense means that the autonomy of sub-systems may be worth for pre-
serving because they are worth more if they own some independence. (The Glo-
calization... 2004). Castells points out the correlation between global and local
aspects from another viewpoint (Castells, 2005). He underlines that organizations
are localized but organizational logic is independent from space and it is imple-
mented within the space of flows. This is matching with the theory saying that an
area’s innovative performance depends on the amount of the actors’ knowledge
and on the flow among them (Horváth, 2004).

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The partially differing from the above described global-local relationship
emerging in the context of regional economy is starting from the point that – pre-
dominantly due to – the spread of ICT theoretically any kind of economic activi-
ties can be performed at any place. However this is true in theoretical aspect only
because the localization aspects of economic actors are more bound to the possi-
ble competitive advantages they may yield but their availability is not homoge-
nous in space (Lengyel – Rechnitzer, 2005). For this reason the role of local em-
bedment is highly appreciated in preserving competitive advantages and localiza-
tion becomes a definitive process for globalization driven transforming economies
(Lengyel, 2003).
And finally the duality of global-local can also be identified in the Hungarian
urban network. Our researches (Szirmai et al. 2001, Szirmai et al. 2002b) pointed
out that Hungarian cities represent global processes and their representation and
integration demands are in accordance with those of general globalization. For
example the cities of Székesfehérvár, Győr, Tatabánya and Budapest are rather
more local than global societies or cities (Szirmai et al. 2003).
Table 2 is demonstrating the correlating features between the features of glob-
alization and localization on the basis of the above described aspects.
Table 2
The correlation between global and local in information society
Global Local
Globalising market competition (global strate-
The preservation of differences in economic per-
gies)
formance
A theoretically unlimited abundance of the
The ’domestic basis’ of global companies can be
traditional factors of production
identified, cities are the carriers of local values
Globally spreading new ideas
The key branches of leading firms are concen-
trated while the production and servicing units
are located in peripheries
Global technology
Local communities and content
Global development strategies
Bottom-up composition
Spread of global culture
Local movements
Organisational culture is formulated on global
Organizations are bound to locations
level
Globalizing economy
Local society
Source: The author’s own edition on the basis of Lengyel – Rechnitzer (2005).
Our viewpoint is that the symbiosis of global with local can be interpreted in
information society in narrow and wide sense as well. In narrow sense (by a sim-
plified approach) it can be identified by the terminology pair of technology and

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adaptation (services, communities, content). In wider sense (following the two
authors’ Lengyel–Rechnitzer theory) it means the duality of market competition,
production factors, knowledge, technology development policy on the one side
and the evolutional process of organization systems on the other side.
Polarization and standardization
The meaning of polarization and standardization terminology pair is partly dif-
fering from this. Its essence is that besides the polarization of the processes of
economy and living standards there are significant spatial differences in ICT ac-
cess and use. They are most clearly manifested between core and peripheral areas
(regions) and between cities and villages (Erdősi, 2004). This is explained by the
fact that information society related activities are concentrated in the core areas
of development (Rechnitzer, 2003, 2004; Szirmai, 2004; Nemes Nagy, 2003;
Cornford, 2000) and only some regions are capable alone for exploiting their new
comparative advantages.
For the explanation of the terminology pairs it is necessary to remark that
while polarization creates significant, even spatially palpable differences stan-
dardization can rather be regarded as a sectoral factor or even works against po-
larization.
Concentration and deconcentration
The spread of information society brings on both concentrating and deconcen-
trating impacts. One of its elements is that its spatial diffusion is closely corre-
lated with the spatial concentration of innovation (Cooke, 2001). Concentration
areas are absorbing central knowledge spaces such as universities, R&D organi-
zations, innovative enterprises, specialized information and organizational net-
works (Cooke, 1999; Maskell et al. 1998; Asheim, 1995; Maillat – Kebir, 1999).
Another phenomenon of concentration is that metropolises play an increasing role
in urban systems strongly affecting the site selection policy of industrial and ser-
vicing sectors (Castells, 2001). Graham (2000) has a similar argumentation on it.
By this approach the higher appreciation of cities stems from several motives. On
the one hand ICT is tailored to the existing high added value activities. On the
other hand for minimizing economic risks ICT favours settlements with an ade-
quate innovation milieu.
The spread of information society as a deconcentration process decreases tra-
ditional competitive advantages which may enable the closing up of economically
peripheral areas (Fuchs – Wolf, 2000). But contrarily some researches (Gillespie –
Robins, 1989; Preston, 1995) report on just the strengthening of concentration
processes and indicate deconcentration effects in case of fundamental technolo-
gies only. Concentration is clearly noticeable in decision-making processes (Szir-
mai, 2004) or in case of changes in the quality of life. But it often brings about a

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decline in the position of less advanced regions. On technologically underdevel-
oped peripheral areas a kind of ’networked ghettos’ are formulated (Thrift, 1994).
Imre Lengyel in connection with the spread of ICT highlights the simultaneous
phenomena of concentration and deconcentration. In accordance to his theory the
deconcentration of executive activities is accompanied by a definite concentration
of strategic activities (Lengyel, 2003). This can principally be manifested within
the framework of agglomeration economies. This is accompanied by such positive
externalities as (building of infrastructure, sectoral concentration, specialization)
that are further strengthening – primarily – economic concentrations (Fujita et al.,
1999;  Lengyel, 2003). In Porter’s interpretation agglomeration economies and
development poles are mingled and clusterization becomes the primary factor of
development (Porter, 1990). All these theories are common in stating that certain
spatial nodes have stronger social and economic relations.
2.2.2.2 Digital divide
Digital gap, digital divide and digital inequalities are all new terminologies born
during the past ten years. When the penetration rate of ICT devices was low they
were used as a category of access to devices. To this refers also an OECD defini-
tion formulated in 2001. It says digital divide is a difference in access between
individuals, households, economic and geographic areas having been determined
by different social and economic factors.
But today this term has been used in a more complex sense describing the dif-
ferent quantitative and qualitative parameters of usage  (DiMaggio – Hargittai,
2001; Dányi 2003). The use of this term in case of several authors just because of
the changes in its meaning tends to mark inequalities (DiMaggio – Hargittai,
2001; Hargittai, 2003; Szarvák, 2006; Spanning… 2001). This kind of approach
uses this term in a wider sense taking several dimensions of technological access
and utilization into consideration. Thus it is setting up the quality of devices, the
autonomy of utilization (the place of access, the freedom of utilization), the
establishment of social networks (size, mutual help) and online skills as new
criteria. It is also an important element that not the presence or the absence of
access is focused in analyses but rather the behavioural patterns of actors having
access to it and they analyse the social differences they are arising from (Wilson,
1999; Norris, 2001). Some of our empirical researches are fitting into this line of
thoughts but they are analysing them by a particular set of criteria only.5

5 This means that due to its social geographic orientation it investigates the correlations between
territorial (local, settlement network and regional level) aspects and social factors. However it does
not intend to provide an investigation and evaluation on the inequalities of micro-communities and
the social spaces they are embedded into. For all that we are striving to utilize all the – mostly

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When specifying the meaning of the term digital divide we cannot neglect that
acquiring digital literacy less and less counts as a ’competition advantage’. At the
current social development phase it is rather an expectation. The groups excluded
from ICT will be left out of a certain part of public services and may get into a
marginal position on labour market or in public life (Alföldi, 2006). We are on
the opinion that at the current state of development the integration and support of
this kind of peripherized social groups is not possible. For them the access to even
the most common and essential public services will be more problematic such as
financial, public health, governmental services including education as well (Har-
gittai, 2003).
In Hungary digital divide evolved and was growing since the second half of
the 1990s with the growing number of home personal computers and with Internet
access (A magyar társadalom… 2004). The present processes seem to indicate the
stabilization of the digital divide in the present society (today 60–70% of the pre-
sent society are not or under motivated for an active participation). The differenti-
ating factors – following the international trends – are arising from differences in
sex, ethnic background, educational level, age or income (WIR, 2005, Dessewffy,
2003). Beyond them the differentiating impacts of geographical location are
manifested even by differences in the access to basic technical facilities. The cen-
tral places of settlement hierarchy enjoy a far better provision of services than
rural areas. This means that the conservation of traditional urban-rural social and
economic dependencies is a major source of digital divides (A detailed descrip-
tion of the digital inequalities and their factors in Hungary will be discussed later.
Here we only find important to remark that in Hungary there is a strong correla-
tion between digital divide and social capital. Users definitely have higher socia-
bility index than the excluded [Molnár, 2003]).
Finally it is important to notice that researches on digital divide are common
in that aspect that they all raise the question whether digital divide increases the
existing differences or creates a new system of inequalities. This may fundamen-
tally change the application mode of intervention policies as well (Pintér, 2003;
Szarvák, 2004).
2.2.2.3 Core-periphery relations
According to Krugman (Krugman, 2000) core-periphery relations are originating
from the duality of mobile and static resources. Concerning the dual concept of
core-periphery Nemes Nagy József (1996) defines three associated meanings of it.

sociological – approaches attached to this subject for our research. From this aspect we are
particularly interested in the relevant works of Tamás Pál (2001), Utasi Ágnes (2002), and Szarvák
Tibor (2006).

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The first one is locational or geographical duality denoting core or periphery po-
sition in geographical sense. In case of developmental core-periphery we can op-
pose the conceptual meanings of developed and underdeveloped. The third is a
power-oriented aspect describing differences in dependence and assertion. Nemes
Nagy highlights the complexity of core-periphery relations and emphasizes the
relativity of the concept. The core-periphery approach of Lengyel–Rechnitzer is
slightly differing from this by focusing on the spatial concentration of
innovations. They are specifying areas with high concentration of innovation as
cores and all the others as peripheries. They also remark that cores and
peripheries are in dependency relation with each other (Lengyel – Rechnitzer,
2005, 289). The primary elements of dependency are organizational, power and
institutional aspects which are important factors of the spread of IS as well. On
the basis of Friedmann’s theory the two authors also underline that peripheries
also should mobilize their own resources for tackling their handicapped position.
In Hungarian literature we also can see a multi-level approach of core and pe-
riphery relations. On the one hand the theory of concentration taking place si-
multaneously with the deconcentrated pattern of the spread of information society
(Erdősi, 2002) is the first sign of it. On the other hand (not directly connected
with the information society) it is also experienced in Hungarian metropolitan
areas as a special differentiated form of urban social formations (Szirmai, 2006).
This latter approach refers to the fact that in metropolitan areas the traditional
core-periphery hierarchy of socially low-ranked core and high-ranked periphery
elements.
It is worth noting that the evolution of information society is also fostering the
changing of core-periphery relations (Farkas, 2003). IS can also characterized by
the feature that peripheries are in much worse situation from the aspect that the
implementation or negligence of fundamental technology development projects
strongly depends on market-oriented considerations (Kanalas, 2000). It is also
significant that core-periphery relations – for the greater part in metropolitan areas
– are perceived within the boundaries of a single settlement as well. Here we can
find typical internal ruptures and core-periphery effects as well (Nagy, 2004). The
core-periphery relations between places (or regions) may also be explored by such
factors as the development stage of innovation and adaptive skills, the predomi-
nance of the interests of the core area and the existence of essential facilities.
In literature there are also some approaches stating that the application of ICT
can assist to closing up peripheries by fostering enterprises, improving employ-
ment and lifting communities (Hughes, 2004). However it works under the condi-
tion if all the basic components of information society are improved because this
is the only way of building integrative communities. The fact that some parame-
ters of the peripheries have such potentials that may diminish the disadvantages of
peripheral position may work for this process (G. Fekete, 2005). This is especially

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true in case of the emerging new key factors – cooperation, partnership, solidarity
and uniqueness – of development. The latter elements may secure a free crossover
between traditional assemblages and – yet now a smaller circle of – virtual com-
munities.6
On the basis of the aforementioned approaches the social and spatial dispari-
ties of information society can be understood as a complex multi-dimensional
system. By our opinion these conceptual definitions suggest that the key mecha-
nism can be integrated into two strongly correlating factor sets. By this approach
we are on the opinion that all factors that a certain territorial unit has no or very
little impact on are defined as external factors. All that are the outcomes of their
own spatial and social background are defined as internal. By our approach the
two sets mutually contribute to the increase of socio-spatial inequalities and also
shaping their character (Figure 3).
We also find important that a changing balance between the two factors sets
changes the characteristics of inequalities as well. In case of external factor domi-
nance dependence while in case of internal factor dominance the scarcity of re-
sources are overweighing all the other factors.
2.3 How can the outcomes be characterized?
The aforesaid impacts of information society may be identified on several levels
and their outcomes are rather complex. The complexity of the process is indicated
by the fact that several macro-level approaches have been set up for the imple-
mentation of the information society. Castells and Himanen (2002) separate three
different social models. The first is the Silicon Valley model which is a market
regulated and an open way towards information society. The second is the Singa-
pore model flavoured by strong state interventions. And finally the Finnish model
is differing from them by showing a way to an open welfare information society.
The Silicon Valley named North American way of IS is featured by the emer-
gence of quick and extensive ICT innovations and by the rationalization of the
telecommunication sector. The Southern Asian model to the contrary is domi-
nated by social aspects and by bottom to top approaches. And finally the West-
European development model is unique just in its diversity by integrating various
elements from all the other models (Csorba, 2005, A világ… 2004).

6 A series of analyses on the correlations between geographical and cyberspace are trying to find a
solution just for this problem (Mészáros, 2003; György, 2001; Jordan 1999).

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Pécs : Centre for Regional Studies, 2009. 64. p. Discussion Papers, No. 74.
The European development model is based on two sets of principles. The first
is the political and social environment (including education and training), the
other is the public institutional system (including information supply, the prepa-
ration of strategies) [Csorba, 2005, 2].
Irrespectively from development models the evolution of information society is
influenced by five territorial and geographical aspects. The first is the geographi-
cal determination of human developments (and their cognitive, social, cultural
and economic consequences). The second is geographical proximity having a
determining role in personal contacts. The third is geographical and social con-
tacts influencing silent knowledge. The next is learning which can be studied in
special economic and social context. And finally, it is also important that the fil-
tering and utilization of information also involve geographic determination
(Howells, 2002, 873–874).
The differing development models mark different development courses for
each country. In addition to this development differences are showing strong na-
tional level and functional determination as well. This is pointed out by an opin-
ion saying that ’knowledge infrastructure’ i.e. knowledge intensive services and
the utilization of ICT are definitely concentrated in metropolitan centres (Sassen,
2001; Richardson – Bae, 2006). Thus, on local level knowledge sharing and geo-
graphic proximity based clusters enabling the transfer of silent knowledge are
rather more the driving forces (e.g.: Silicon Valley, Sophia Antipolis, Tsukuba).
Because of the aforesaid factors the competitive advantages of cities are re-
evaluated. This is due to the fact that the development of information and com-
munication networks makes possible the relocation of several labour intensive
activities into developing countries (Lever, 2002). The fading of earlier competi-
tive advantages urges cities to redefine their activities and cooperation strategies.
The most generally approved competitive advantage may be the more efficient
utilization of knowledge base as the successful utilization of knowledge may fos-
ter the spread of the innovation of products, services and activities (Lambooy,
2000; Castells – Hall, 1994). It should stand on the increase of R&D investments,
on increasing labour skills and on application development.
On the whole it is also important that the evolution of information society im-
plies the increase of its spatial impacts. Its major outcomes are as follows:
  Flexibility, the presence or absence of quick response;
  The growth or stagnation of ICT investments;
  The growth or stagnation of some non-material investments (education,
R&D, consultation, etc.);
  The presence or absence of R&D cooperation;
  Foreign direct investments;
  The presence or absence of applicable R&D capacities in short-term;

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Pécs : Centre for Regional Studies, 2009. 64. p. Discussion Papers, No. 74.
  The introduction of new decision-making procedures;
  The presence or absence of mechanisms where innovations are stimulated
by consumer demands (Nyíri, 2001);
3 What can be seen from our empirical results?
We carried out our empirical research by taking all the important results of the
theoretical foundations into account. We did so to assess the present development
stage of the information society and its impact on regional development. Our em-
pirical researches were carried out in the metropolitan areas of Hungary and in
Central Transdanubian Region. In the next chapter we are going to outline the
major results of our studies.
3.1 How are the Hungarian micro regions progressing?
3.1.1 The objective of the partial analysis
Although a wide range of comprehensive research results is available on the pro-
gress of regional processes and on the factors of economic and social develop-
ment no complex researches have been carried out on the impacts of information
society on local level. The so far prepared analyses on the features of (preferably
economic) spatial structure are limited only to the characteristic features of ICT,
therefore they are favouring mostly technology oriented aspects (Erdősi, 1999;
Nagy, 1997; Kanalas, 2000) and some analyses are focusing on the role of cities
and counties within the spatial structure (Rechnitzer et al. 2003, Nagy, 2002).
By proceeding from this standpoint our investigation is aimed at revealing
how the Hungarian micro regions7 are trying to adapt to the paradigm of social
organization comprising the investigated complex technological, economic and
social aspects as well. Our research has double objectives. On the one hand we
are trying to find out what indices can be used for describing spatial develop-
ment. On the other hand we are going to analyse how the factors of IS affect re-
gional development and how they influence spatial disparities.

7 A The Hungarian Central Statistical Office assigned statistical microregions in 1993 for the first time. At that
time 138 microregions covered the country’s whole territory. As some microregions had multiple centres their
number increased to 150 in 1997. Due to the quickly increasing number of new towns and to the expansion of
their settlement functions the number of microregions further increased in 2004 and their current number is
168. Our paper’s analyses cover provincial microregions (excluding Budapest). The microregions of Budapest
were excluded from our research due to their much higher – in all kinds of aspects – development indices.

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Szépvölgyi, Ákos :
The Effects of the Information Society on Spatial Development – Hungarian Case Study.
Pécs : Centre for Regional Studies, 2009. 64. p. Discussion Papers, No. 74.
Beyond these our partial analysis is motivated by two further reasons. The first
is that the traditional infrastructure – ICT economy – education approach is not
complex enough and suitable for introducing certain elements of IS only. Our
approach is going to go further than this viewpoint. On the other hand our applied
multivariable statistical methods (factor and cluster analysis) make us possible the
categorization of the elements of the territorial level of our research area i.e. to
define the various types of developmental stages and to present their characteristic
features.
3.1.2 Methodological background
Fort he establishment of the variable sets to analyze we surveyed the indices of
the complex development level of micro regions (and partially of the integration
into the information society) with the standard international indices measuring the
development level of the information society (Csatári, 1996; Beluszky, 2001;
Faluvégi, 2004; Nemes Nagy, 1996; Rechnitzer, 2003, 2004; Baranyi, 2004;
Nagy, 2003; Kanalas, 2000 and Word Bank, eEurope Benchmarking, CID, ISI,
ITU, Orbicom, NRI).
We used 47 different base variables for the analysis of Hungarian micro re-
gions. Some of the selected variables were used for analysing the development
level of ICT (i.e. technological supply level), some for assessing human re-
sources, some for analysing employment structure and another part for describing
the relevant economic environment. Our complex approach required to use such a
system of indices which was not directly linked to IS but had such variables
which were in close relationship with it.
When carrying out the multivariable statistical analysis we used static vari-
ables only and we were not striving for the exploration of the timely changes of
processes. The main reason why we did so is that for the majority of variables
used in the index system we had no opportunities to compare the data collected at
different times and the mixture of static and dynamic variables would have re-
duced the efficiency of the research method applied. The majority of data are
taken from KSH T-STAR database and with only one exception (census data)
they are from year 2005. Another part of the data was taken by own collection
(the date of data collection was August 2006). The base variables are summarized
in Table 3.

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Pécs : Centre for Regional Studies, 2009. 64. p. Discussion Papers, No. 74.
Table 3
The base variables of the complex index system
Variable Year
Source
Number of accredited faculties of higher education
2006
MAB
Activity ratio, %
2005
KSH T-STAR
Number of permanent residents, heads
2005
KSH T-STAR
Number of primary school pupils, head/100 residents
2005
KSH T-STAR
Number of banks
2006
own collection
Number of registered patents
2006
PIPACS
Number of civil federation member organizations
2006  ITOSZ, WISTA, MATISZ
Number of doctoral schools
2006
MAB
Personal income tax per head, HUF
2005
KSH T-STAR
Number of University IS research units
2006
ITTK
Number of university professors
2005
KSH T-STAR
Number of higher education centres
2006
NFI
Ratio of graduated employees, %
2005
KSH T-STAR
Ratio of graduated persons, %
2001
KSH T-STAR
Number of technical university and college departments
2006
MAB
Sum of grants won by GVOP 3 competitions, million HUF
2006
NFH
Sum of grants won by GVOP 4 competitions, million HUF
2006
NFH
Number of local radio stations 2006
Médiaász
Number of local television stations
2006
Médiaász
Number of local newspapers 2006
Médiaász
Number of ICT servicing enterprises
2005
KSH CégKódTár
Number if productive ICT enterprises
2005
KSH CégKódTár
Number if secondary schools providing IT training
2006
OKÉV
Number of incubator houses
2006
MISZ
Number of innovation federation member organizations
2006
MISZ
Number of industrial parks
2006
GKM
Number of ITOK (Information Society Education & Research  2006 ITTK
Groups) research units
Number of IVSZ (Hungarian Association of IT Companies)
2006 IVSZ
members
Number of R&D enterprises
2005
KSH CégKódTár
Degree of cable TV provision, %
2005
KSH T-STAR
Number of correspondent university students
2005
KSH T-STAR
Number of modem Internet service providers
2006
own collection
Number of research units funded or supported by HAS
2006
MTA
Unemployment rate, %
2005
KSH T-STAR
Number of full-time university students, heads
2005
KSH T-STAR
Accessibility ratio to open WIFI connections, %
2006
hotspotter.hu

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Pécs : Centre for Regional Studies, 2009. 64. p. Discussion Papers, No. 74.
Count. Table 3
Variable Year
Source
Ratio of career-starter unemployment, %
2005
KSH T-STAR
Number of registered domain names
2004
ISZT*
Participation at Parliamentary Elections, %
2006
OVI
Number of secondary schools providing special language
2006 OKÉV
training
Number of broadband Internet service providers
2006
own collection
Sum of Corporation Tax, thousand HUF per inhabitant
2003
APEH
Ratio of long-term unemployed people, %
2005
KSH T-STAR
Number of tele-houses
2006
MTSZ
Fixed phone provision ratio, %
2005
KSH T-STAR
Ratio of employees in managerial position, %
2005
KSH T-STAR
Number of web references
2006
www.google.hu
* The micro regional database was prepared on the basis of ISZT (Council of Hungarian Internet
Providers) data by I. Kanalas (CRS HAS ARG).
Source: The author’s own edition.
In accordance with the objectives of the partial research in the first step we are
going to select those variables that best represent the development of IS and to
replace the great number of available variables with a less number of factor vari-
ables preserving the greatest part of their information content. To achieve this we
selected factor analysis and namely the method of main component analysis.
Having learnt the statistical background of factor analysis we used a correlation
matrix first for investigating the interconnection of single data. As the value of
Kaiser-Meyer-Olkin index was nearly 0.9 (0.874 actually), the information car-
ried by 47 variables was suitable for executing factor analysis. Based on the re-
sults of main component analysis (having gained after rotations) the values of
four factors exceeded the value of 1. These four factors explain 81.23% of the
original information content which means that the base variables may represent
the disparities and uneven development level between micro regions with minor
information content loss. It should also be noted that of the 47 base variables on
the basis of factor analysis we cannot consider all of them as component parts of
these factors. Variables with cumulating value below 0.25 or not linked to any
factors were excluded from further analyses.8 Considering this the variables
bound to each factor (38 in total) and their factor values are as follows (Table 4):

8 The linkage of such factors is unambigous where factor weight exceeds the value of .025 in a
single factor only or its factor weight on one factor is at least double of any other factors (Székelyi
– Barna, 2002).

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Pécs : Centre for Regional Studies, 2009. 64. p. Discussion Papers, No. 74.
Table 4
The value of variables bound to the four factors and the values of factor weights
Variable
Weight of factor
Factor 1: economic performance, motivation force: 56.62%

Number of research units funded or supported by HAS
.991
Number of ICT servicing enterprises
.989
Number of registered patents
.988
Number of R&D enterprises
.987
Permanent population (heads)
.983
Number of productive ICT enterprises
.979
Number of ITOK (Information Society Education & Research Groups)
.947
research units
Number of banks
.876
Number of university IS research units
.664
Number of incubator houses
.506
Factor 2: Social maturity, motivation force: 11.48%

Number of university professors
.961
Number of university students (heads per 1000 inhabitants)
.960
Number of accredited college/university faculties
.955
Number accredited institutes of adult education
.934
Number of doctoral schools
.919
Unemployment rate (%)
.902
Ratio of long-term unemployed people (%)
.895
Number of technical universities and colleges
.879
Ratio of graduated employees (%)
.844
Ratio of employees in managerial position (%)
.818
Number of elementary school pupils (heads /100 inhabitants)
.765
Activity ratio (%)
.751
Number of secondary schools providing IT training
.549
Number of secondary schools providing special language training
.540
Factor 3: technological development, motivation force: 9.49%

Number of modem Internet service providers
.949
Number of broadband Internet service providers
.897
Fixed phone service provision ratio (%)
.580
Accessibility ratio to open WIFI connection in settlements (%)
.496
Factor 4: content and activity, motivation force: 3.64%

Number of IVSZ (Hungarian Association of IT Companies) members
.993
Number of registered domain names
.992
Number of civil federation member organizations
.990

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Szépvölgyi, Ákos :
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Pécs : Centre for Regional Studies, 2009. 64. p. Discussion Papers, No. 74.
Count. Table 4
Variable
Weight of factor
Number of Innovation federation member organizations
.986
Sum of grants won by GVOP 3 competitions, million HUF
.982
Sum of grants won by GVOP 4 competitions, million HUF
.891
Number of local television channels
.848
Number of local newspapers
.749
Web references
.692
Number of local radio stations
.649
Source: The author’s own calculation.
We arranged micro regions into groups by these four factors by applying the
K-mean cluster analysis method. For maximizing the homogeneity of groups we
carried out cluster analysis by selecting 3, 4, 5 and then 7 clusters. Based on the
results we got micro regional level development differences and spatial dispari-
ties can be identified by four clusters the most exactly. Of course some micro
regions – due to the relatively small number of clusters are located remotely from
their cluster centres being in a kind of transitional position between their and their
neighbour cluster (such as the micro regions of Székesfehérvár, Aba, or Budaörs).
Our analysis is calling special attention for them.
3.1.3 Some major results
The results of the earlier researches on the spatial processes of information soci-
ety are clearly outlining the major trends of disparities. Budapest and the metro-
politan areas have by far the highest values of development indicators. Both set-
tlement size and the spatial concentration of higher education and R&D are cor-
relating with the development differences of the information society. The ana-
lysed surveys (Nagy, 2004) are also highlighting the primacy of infrastructural
development over general spatial development which is further differentiated by
consumer markets. The concentration of potential users is another major factor
which is dependant on income and employment parameters. In this aspect Buda-
pest and its agglomeration with Győr-Moson-Sopron, Vas and Fejér counties have
the best values. Besides these components higher education and R&D background
are also fostering companies for creating new jobs.
The complex indexing system and the four factors provide a clear picture on
the development level and on the spatial disparities of the Hungarian micro re-
gions. In their major trends they are matching with the results of earlier re-
searches but in some cases they are outlining new trend as well. On the basis of

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Szépvölgyi, Ákos :
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Pécs : Centre for Regional Studies, 2009. 64. p. Discussion Papers, No. 74.
the results of cluster analysis Figure 4 shows the spatial location of micro regions
tied to the same cluster.
Figure 4
The potential information society groups of Hungarian micro regions based
on a complex indicator system, 2006
Cor
Local
Part
Complex

Source: The author’s own calculation and edition.
The group of the economically most advanced micro regions, the centres of IS,
consists of seven micro regions. They without exception have been formed
around big cities (of all Hungarian big cities Kecskemét is the only one excluding
from this group9). The members of the group are definitely differing from other
micro regions. They are common in their extraordinarily high level of economic
development, social maturity, technological development as well as content and
activity background. The high concentration of ICT enterprises (both manufac-
turing and servicing) is special for this group which refers to the fact that enter-

9 We must note that the development level of microregions in case of cluster 1 and 2 reflects the
central role of their cities (all but one they are cities of county rank). This is because the index
group has several variables that are valid for cities with county rank. This also highlights the fact
that in the present stage of development complex IS integration is the privilege of centres only.

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Pécs : Centre for Regional Studies, 2009. 64. p. Discussion Papers, No. 74.
prises are favouring the proximity of big cities with regional functions in their site
selection policy. This is verified by the groups arranged by the variables of factor
1 (Figure 5).
Figure 5
The possible grouping of Hungarian micro regions based
on the data of factor 1, 2006
Hiba!
Outst

Dev

Under

Per

Source: The author’s own calculation and edition
We must emphasize that factors play a different role in the development level
of IS and because of this they can be arranged into three sub-groups. One sub-
group of the cluster consists of the micro regions of Debrecen, Miskolc, Pécs and
Szeged. Because of their positive declination from cluster centre they are the ones
that regarded as cluster centres. They are common in having the most advanced
ICT sector coupled by a highly advanced higher education system and R&D ca-
pacities. Their traditional role as higher education centres even with a relatively
less advanced ICT sector is securing a high degree of IS integration. This even in

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Szépvölgyi, Ákos :
The Effects of the Information Society on Spatial Development – Hungarian Case Study.
Pécs : Centre for Regional Studies, 2009. 64. p. Discussion Papers, No. 74.
case of highly advanced IS is backing up the hypothesis that the density nodes of
the spatial structure as a result of the preceding and following years of the regime
change are functioning as classical regional centres. The other part of cluster
consists of the micro regions of Győr and Székesfehérvár the most successful ter-
ritories of the socio-economic transformation process following the political
changes of the 1990s. In their case we can speak of unilateral development only.
Their economic development is unambiguously outstanding and it is noticeable
by the high number of manufacturing and servicing ICT enterprises and by the
high concentration of economic services. Besides these their employment and la-
bour skills indicators are also better than the other members of the group. On the
other hand their higher educational and R&D capacities, their civil society activi-
ties and their results in winning grants through competition are below of their
group’s average. Their outstanding economic results are sufficient for regarding
them as IS centres but insufficient for reckoning as the most advanced members
of the cluster. On the basis of the cluster’s distance from the centre the micro re-
gion of Nyíregyháza is obviously different from the others as it can be regarded as
a transitional area towards local centres. Its inclusion in the cluster – by our
opinion – originates from the rapid economic development of the past ten years
(infrastructure developments, the growing capacities of higher education, the
quick growth of employment). However the city’s development into a real re-
gional centre is hindered by the proximity of the region’s other two cities: Debre-
cen and Miskolc.
11 micro regions have been selected into the second cluster: the local centres
of IS development. The cluster is composed of the micro regions of 10 cities of
county rank (7 are county seats) and of the micro region of Budaörs. Cluster
members have an outstanding position in their spatial structure due to their high
concentration of the ICT sector (but the dominance of servicing ICT enterprises is
also remarkable) and their degree of technological supply is also above the aver-
age. In this aspect their lag behind the previous clusters is minimal as none of
their development indicators differs significantly from the members of cluster 1
(Figure 6).
But centres of secondary IT education are also located in these micro regions.
It is important that these micro regions also have good civil society activities and
achieve good results in winning grants through competitions. These facts are
clearly verifying that they have the parameters featuring the second wave of IS
which in certain cases – principally in cities with above average higher education
and R&D facilities – are extended by the characteristic features of the third wave
as well.
Some handicapped micro regions are also included in the group. This is partly
due to their favourable location in the Budapest agglomeration (Budaörs micro
region), or due to their proximity to Hungary’s west border (Sopron-Fertőd micro

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Pécs : Centre for Regional Studies, 2009. 64. p. Discussion Papers, No. 74.
region) or due to their traditionally advanced industrial structure (Dunaújváros
micro region).
Figure 6
The possible grouping of Hungarian micro regions based
on the data of factor 3, 2006
Outstan

Dev

Under

Peri


Source: The author’s own calculation and edition.
The position of the cluster’s core – county seat centred – micro regions is justi-
fied by the high concentration of professional training (especially secondary edu-
cation) and the concentration of ICT enterprises seated in settlements with central
functions. In comparison to the centres of IS here ICT services are in dominance.
However these micro regions’ higher educational and R&D capacities are limited
and they have no or very few campus role performing university centres or uni-
versity bound R&D capacities. Because of county seat functions their service
palette (such as banking, incubator house, media facilities) is much better than in
any other micro regions of lower development stage. Compared to IS centres it is
a difference that in these micro regions the dominance of ICT service provider
enterprises is clearly noticeable. However their higher educational and R&D po-
tentials are limited as they have no or very limited number of campus role player

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Szépvölgyi, Ákos :
The Effects of the Information Society on Spatial Development – Hungarian Case Study.
Pécs : Centre for Regional Studies, 2009. 64. p. Discussion Papers, No. 74.
university centres with tied to them R&D capacities. However functioning as
cities of county rank their service palette (e.g. banks, incubator houses, media) are
much more advanced than of micro regions ranked by development degree into a
lower category.
Dunaújváros and Sopron–Fertőd micro regions are the weakest (though having
not much different indicators from the centre) members of the cluster. Their good
employment and professional skills indicators, the advanced level of local media
and their existent higher educational capacities make them eligible for cluster
membership.
53 micro regions have been selected into the group of partial peripheries. The
common features of these micro regions are their average technological develop-
ment and their social maturity. Their spatial location is not concentrated but their
density is typically the largest among the micro regions of clusters 1 and 2. It is
important to mention that the internal differentiation degree of partial peripheries
is very high.
County seat centred micro regions excluded from the previous cluster (Ta-
tabánya and Zalaegerszeg) are a special group from the aspects of development.
By their major features of IS development they are closer to local centres but their
development level (except for the technological development factor) is lower.
Their transitional position is indicated by the large positive distance measured
from the factor centre.
Regarding the reasons of the advanced level major tourist spot areas formulate
a special group which – due to the content and activity factor – have a better po-
sition in the IS relevant development hierarchy than they would be eligible by
their actual economic development stage (such micro regions were selected into
this group as Balatonalmádi, Balatonföldvár, Balatonfüred, Fonyód, Hajdúszo-
boszló, Keszthely–Hévíz and Siófok).
Another group is formulated from the micro regions feeling as the losers of the
whole transition process into market economy and now regarded by spatial de-
velopment aspects as handicapped areas. Their relatively good position stems
from their local community building skills, from their preference of local devel-
opment projects oriented towards the preservation of local values, from their mi-
cro regional strategies targeted at the development of IS and from their great am-
bitions in rendering content provision services and in participating in competi-
tions for grants. We selected Aba micro region (the single one without city rank
centre) with Szigetvár and Zirc micro regions into this group. This is verifying
Éva G. Fekete (2005) earlier mentioned theory stating that cooperation, unique-
ness and solidarity may reduce the disadvantages originating from peripherality.
The micro regions receiving the out radiating effects of Budapest are a special
group. They are common in being the members or being located very close to the
Budapest agglomeration zone (Dunakeszi, Esztergom, Gödöllő, Nagykáta, Szen-

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Szépvölgyi, Ákos :
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Pécs : Centre for Regional Studies, 2009. 64. p. Discussion Papers, No. 74.
tendre, Vác) and in their above average values of social maturity (due to the sub-
urbanization of families with high social position), employment rate and profes-
sional skills. Our results on the other hand are also revealing that the proximity of
Budapest is only a potential chance for social integration but it is insufficient
alone for playing a dominant role in development.
96 micro regions have been selected into the group of complex peripheries.
The majority of micro regions can be categorized as the complex peripheries of
the IS. They are all lagging micro regions in economic, social, technological and
content sense and in several cases do not show any signs of readiness for the inte-
gration into IS or even in of its partial components. Their spatial concentration
can clearly be identified, more than two-thirds of the micro regions located east
and about one-third of micro regions located west from the Székesfehérvár–Pécs
axis fall into this category. Independently from their geographical location the
ratio of ICT enterprises is very low in these micro regions, higher educational and
R&D capacities carrying the potentials of IS development are missing and civil
society activities are also low in this group.
However the cluster’s members have much better values in the field of grants
won by competitions. These micro regions (or rather their hosting counties) by the
absolute sum of financial grants won by competition and by their per head value
are in better position than they would be eligible by their economic performance.
This can be seen by the examples of Baranya, Csongrád, Szabolcs-Szatmár or
borsod-Abaúj-Zemplén counties as their absolute regional development grant
figures and their per capita indicators are ahead of Győr, Veszprém or even Fejér
counties. This is well seen by the territorial division of IS related development
grants won from the EU Structural Funds (Figure 19).10
This can partially be explained by the fact that – following the EU practice –
Hungarian regional development policy regards the closing up of micro regions
(i.e. creating spatial cohesion) one of its key elements. On the other hand these
micro regions have a kind of ’expectation for miracle’ attitude towards ICT de-
velopment (Csatári – Kanalas, 2002) which explains their increased activities.
What is a drawback for such kind of development is that it is encouraging the
building of primary infrastructure only. This means that it will formulate such a
development profile which is characteristic for the first wave of the information

10 By the overall results of NFT1 (National Development Plan) the development level surpassing
economic performance potentials besides the development resources of IS development can be
verified by the correlation between economic development level and the sum of grants won by
competitions. These microregions (or rather their hosting counties) by the absolute sum of
financial grants won by competition and by their per head value are in better position than they
would be eligible by their economic performance. This can be seen by the examples of Baranya,
Csongrád, Szabolcs-Szatmár-Bereg or Borsod-Abaúj-Zemplén counties as their absolute regional
development grant figures and their per head indicators are ahead of Győr, Veszprém or even
Fejér counties.

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Pécs : Centre for Regional Studies, 2009. 64. p. Discussion Papers, No. 74.
society only. Besides it alone does not contribute to the improvement of the other
factors of development.
Figure 7
Grants won from NFT I (National Development Plan) for the development of in-
formation society (million HUF, as stated on 31 May 2006)
360 to 5 110  (24)
270 to  360  (12)
170 to  270  (25)
60 to  170  (20)
1 to
60  (22)

Source: The author’s calculation and edition based on NFÜ (National Development Agency) data.
And finally we must emphasize that de jure city centered micro regions create
a special sub-group by their negative distance from the cluster centre. They typi-
cally do not show any features of IS integration which – by our hypothesis – will
put these micro regions into a persistent lagging position. Several micro regions
fall into this category such as Abaúj-Hegyköz, Bélapátfalva, Dabas, Ibrány–
Nagyhalász, Jánoshalma, Lengyeltóti, Mezőcsát, Mezőkovácsháza, Őriszentpéter
and Zalaszentgrót.
The results of researches carried out by the application of the above-described
methods  point out that the fragmentation of the Hungarian spatial structure –
even by the driving force of the factors of information society as restructuring
processes – will not fundamentally change but these factors are rather modifying
or fine tuning the traditional key elements (depending on their position and geo-
graphical location in settlement hierarchy) or even changing the role of its de-
termining factors.

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Pécs : Centre for Regional Studies, 2009. 64. p. Discussion Papers, No. 74.
This clearly shows the increased importance of localities. Thus, in its present
form it may bear the potentials of decreasing those social and economic differ-
ences that have emerged with the change of regime. However this real alternative
is offered for only a very small number of micro regions where building autono-
mous local community is a key issue of the local municipality’s development
policy. At the same time it also increases development differences which will
further grow by the development of the economy and by the emergence of higher
education oriented functions and this will further increase the comparative ad-
vantage of cities. Being aware of our results we consider very important to remark
that the absence of radical changes is explained by the fact that our indexing sys-
tem was built on the results of traditional complex spatial structure researches.
This comprehensive interpretation of the factors of information society by our
opinion was a great help for getting a better insight into the ongoing real proc-
esses. And finally it must also be taken into account that the – evident from the
results – complexity of spatial structure presupposes taking a series of differenti-
ated development policy oriented measures. This means that the key areas of pol-
icy should be designated not only by considering the EU and national strategies
but sometimes they should even override them.
3.2 How big cities are progressing?
3.2.1 The background and the objective of the partial analysis
The transformation of the urban network that followed the change of regime is
one of the key elements of the above-mentioned spatial restructuring processes.
The heterogeneity of the network had become obvious even by the late 1990s and
it had also become evident that cities on different development levels of the urban
hierarchy have diverse development progress as well (Rechnitzer, 1993; Beluszky,
2001). By their functional role it was the most rapidly developing big cities that
got into the most favourable position. Their importance in governance (admini-
stration) quickly grew; their innovative capacities increased and they also came
up as the leaders of economic modernization (Rechnitzer, 2004). The complex,
multivariate statistical analyses of the urban network are also verifying the con-
centration of innovation and knowledge bases in big cities. It was only the cities
of the Budapest agglomeration zone and cities with traditionally strong knowl-
edge base that were capable for joining this trend (Rechnitzer, 2003).
In the Hungarian literature we can find some hints (and the results presented in
the previous chapter are also indicating) that the elements of the information soci-
ety can be identified at a limited scale – in the majority of cases at the points of
spatial structure and a massive spread of the new paradigm can be expected in

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Szépvölgyi, Ákos :
The Effects of the Information Society on Spatial Development – Hungarian Case Study.
Pécs : Centre for Regional Studies, 2009. 64. p. Discussion Papers, No. 74.
long-term perspective only (Csatári – Kanalas, 2002). For this reason we con-
sider the revision of the Hungarian urban processes very important. The necessity
of our partial survey objectives is justified by the results of our micro regional
level investigation which unambiguously detected a correlation between position
in the spatial hierarchy and the degree of IS integration.
Proceeding from the above the objective of our partial research is to reveal
what impacts the spread of information society does have on socio-spatial differ-
ences in Hungarian metropolitan areas. On the one hand we are trying to find an
answer for the question what status formulating features create a gap between
those involved in and excluded from the spread of information society. On the
other hand we are also investigating how the impacts of the digital divide influ-
ence the patterns of residential behaviour) in such areas as interest enforcement,
civil society activities, sensitivity for social problems and attitudes towards con-
flicts). This latter problem brings a new content into our partial survey. It does so
by examining the new aspects of digital inequalities with special regard to the
interrelations between exclusion/integration and relations within the community.
3.2.2 Methodological background
We have examined the integration degree of the inhabitants of Hungarian urban
areas into the information society, the special features of socio-economic ine-
qualities on the basis of a representative residential survey carried out within the
framework of an NKFP research project11 titled ‘Urban Areas, Socio-economic
Inequalities and Conflicts’12.
The possibility for conducting a partial survey investigating the characteristic
features of urban areas was granted by our opportunity for compiling a series of
queries concerning the integration into the information society within the NKFP
project.

11 The National Research Development Project (NKFP 5/083/2004) titled ’Urban Areas, Socio-
spatial Inequalities and Conflicts – Factors of Increasing European Competitivenesss’
investigated the socio-economic inequalities and conflicts of Hungarian urban areas and the
characteristic features of the factors of competitiveness. The leader of consortium is the
Sociological Research Institute of HAS. The collaborating partners of the consortium were as
follows: West-Hungarian Research Institute CRS HAS Central Transdanubian Research Group,
Pestterv Pest County Regional, Settlement and Environmental Planning and Consulting Ltd.
12 The questionnaire survey was prepared in the nine Hungarian big cities (Budapest, Debrecen,
Kecskemét, Nyíregyháza, Szeged, Győr, Székesfehérvár, Miskolc és Pécs) and their background
settlements and in two control settlements. A personal questionnaire was used as a method for
data input resulting in 5248 successful interviews. The interviews were recorded between 12 No-
vember and 12 December 2005. The residential survey was conducted by TÁRKI Rt.

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The Effects of the Information Society on Spatial Development – Hungarian Case Study.
Pécs : Centre for Regional Studies, 2009. 64. p. Discussion Papers, No. 74.
In the present partial survey by using the database of the questionnaire survey
and by preparing statistical summaries (two and three-dimensional) we analysed
the problems in several steps:
  In the first step we analyzed technological supply with its relevant social
status indicators which was done for specifying their determinant factor
groups.
  In the second step on the basis of status indicator factors as determinants of
digital integration the residents of metropolitan areas were arranged into dif-
ferent groups.
  In the third step we investigated the patterns of residential behaviour with
their possible variations.
3.2.3 Results
In the first step by using the traditional interpretation of digital divide we consid-
ered very important to examine the accessibility to PC and to the Internet in met-
ropolitan areas. In the full sample the ratio of PC supply is 42% exceeding the
national average of 31% (Feketén, fehéren, 2006). This is verifying the earlier
mentioned trend where PC supply is correlating with the position taken in settle-
ment hierarchy (this is clearly bearing the marks of concentration). We must em-
phasize that this hierarchy was partially modified after gathering data from back-
ground settlements. Their overall PC supply ratio is 35% indicating that the mul-
tiplication effect of big cities is felt in settlements functionally tied to them.
Internet supply figures show a similar tendency as we have measured by far
higher ratios (24%) than the national average (15%) (Figure 8). It is important
that PC supply directly determinates Internet access and the role of other devices
(PDA, notebook, mobile phone) is yet negligible today. We must also emphasize
that with building up the primary technological infrastructure the use of broad-
band connections became dominant.
We consider extremely important by what social status indicators digital inclu-
sion is differentiated (Table 5). Our research results indicate that of the determi-
native social status indicators income level, education level and knowledge of
languages are the strongest differentiating factors. This is partially correlating
with the results of international researches where incomes, age, gender and edu-
cation level are regarded as the main status grouping factors (eInclusion, 2001;
OECD, 2001; Norris, 2001). The differences in the two results are mainly arising
from the low level of English language knowledge. Apart from this the very
similar integration level of the different age groups is also a unique feature which
– according to our hypothesis – with the exception of old age population – shows
a high level of adaptive skills.

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Szépvölgyi, Ákos :
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Pécs : Centre for Regional Studies, 2009. 64. p. Discussion Papers, No. 74.
By the above-mentioned status indicators the integrants and the excluded13 are

clearly separated into two groups. Within the each group we specified two sub-
groups such as integrant high social classes and integrant low classes as well as
excluded high social classes14 and excluded low classes. By our hypothesis these

four groups’ behavioural patterns and adaptive skills are differing from each
other. In the further phase of our research we are checking if this hypothesis of
ours was right. At first we must prognostify the differences among the four
groups in such areas as the ability to enforce local interests, development orienta-
tion, sensitivity for problems, civil society activities and the utilization of ser-
vices.15 One of the key areas of our research is investigating spatial differences in
the ability to enforce residential interests and revealing the differences in social
integration into the information society. In this matter we have registered quite
significant differences between the different residential zones of metropolitan
areas (Figure 9).
Figure 8
Internet supply in the metropolitan areas of Hungary
(percentage of adult population)
50,00
none
40,00
modem
broadband
30,00
20,00
10,00
0,00
residents with PC
total residents interviewed

Source: The author’s own edition based on questionnaire data.

13 As we have earlier mentioned we measured the integration into information society (digital
inclusion) by the figures of PC and Internet supply the traditional elements of digital divide.
14 We selected people speaking at least one foreign language with at least secondary education with
higher than 100,0001- HUF monthly income into the group of high social classes.
15 In the analysis in all cases we took the differentiating effects of social position and of spatial
location within the metropolitan area into account.

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Szépvölgyi, Ákos :
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Pécs : Centre for Regional Studies, 2009. 64. p. Discussion Papers, No. 74.
Table 5
Digital inclusion shown by social status indicator
(percentage of adult population)
Social status indicators
PC supply
Internet supply
Knowledge of
speaks foreign languages
66.35
46.51
languages
does not speak foreign languages 29.85
15.85



Position
self-employed, entrepreneur
77.39
56.66
employee, manager
55.40
39.78
brain worker
58.34
40.10
manual worker
22.65
10.27




Activity
active wage earner
56.78
36.29
pensioner 19.33
13.06
child-care allowance
47.84
27.74
student 83.90
47.45
unemployed 22.67
6.54
other inactive
39.16
13.53




Monthly income
less than 50 thousand HUF
22.50
11.00
50–75 thousand HUFt
28.34
16.11
75–100 thousand HUF
42.24
22.05
above 100 thousand HUF
73.31
56.46




Age
18–29 years
55.60
33.28
30–39 years
63.00
37.55
40–49 years
49.94
32.24
50–59 years
40.46
25.17
over 60 years
15.64
10.52




Education
primary 19.40
7.90
secondary 55.64
34.40
higher 70.15
52.39




Number of children
none 43.40
31.33
one 58.43
35.45
two 62.90
47.01
three 60.79
54.86
four or more
51.51
38.63
Source: The author’s own edition based on questionnaire data.

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Szépvölgyi, Ákos :
The Effects of the Information Society on Spatial Development – Hungarian Case Study.
Pécs : Centre for Regional Studies, 2009. 64. p. Discussion Papers, No. 74.
Figure 9
The evaluation of the efficiency of the different forms of interest enforcement
by residential zones (percentage of adult population)
35
30
25
20
15
10
5
0
inner city zone
transitional zone
outer urban zone
suburban zone
finding individual solution
contacts with local government representative cooperation with neighbours
by personal contacts
no chances for interest enforcement
contacts with MP
writing petitions, col ecting signatures
contacts with civil society organizations
other ways
participation at political party events
participation at demonstrations
participation in political party activities
Source: The author’s own edition based on questionnaire data.
By the correlation between the modes of interest enforcement and residential
location we can draw the conclusion that urban zone residents prefer individual
solution methods while background settlements are favouring community-based
(above all contacts with municipal representative) methods. It is important that
building contacts with the MP seems as a real alternative in metropolitan areas
only. It is also important that at higher educational level the chances of interest
enforcement improve and the role of personal contacts and residential cooperation
increases. The use of individual solutions is high for people with primary and
secondary education. It is still high for people in higher education but it is not the
most way of interest enforcement. The high significance of local representational
democracy is indicated by the high trust towards local government representatives
without any regard to the level of education (Szépvölgyi, 2007).
Beyond spatial location the position within the social structure further
differentiates the ability for interest enforcement (Figure 10).

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Szépvölgyi, Ákos :
The Effects of the Information Society on Spatial Development – Hungarian Case Study.
Pécs : Centre for Regional Studies, 2009. 64. p. Discussion Papers, No. 74.
Figure 10
The evaluation of the efficiency of the different forms of interest enforcement
depending on the degree of integration into IS (percentage of adult population)
100,0%
90,0%
80,0%
70,0%
60,0%
50,0%
40,0%
30,0%
20,0%
10,0%
0,0%
IS high
IS low
Excluded high
Excluded low
no chances for interest enforcem ent
contacts with local government representative
contacts with the MP
participation in political party activities
participation at political party events
writing petitions, collecting signatures
participation at dem onstrations
contacts with civil society organizations
by personal contacts
cooperation with neighbours
finding individual solutions, self management
other form

Source: The author’s own edition based on questionnaire data.
The results are indicating that IS integration increases the role of community-
based solutions and the role of contacts with the municipal representative. This
attitude depends less on spatial location. It is important to remark that the ratio of
persons seeing no chances for the enforcement of their own interests is higher
among the excluded regardless from their social position. On this basis we sup-
pose that IS integration is opening up new ways to interest enforcement and the
access to information elicits a higher intensity of the activities from people inte-
grating into the information society. We must emphasize that the differentiating
role of IS integration with the dominance of high classes is evident in the field of
personal relations as well. In our opinion this is also due to the improving supply
of information.

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Szépvölgyi, Ákos :
The Effects of the Information Society on Spatial Development – Hungarian Case Study.
Pécs : Centre for Regional Studies, 2009. 64. p. Discussion Papers, No. 74.
From the correlation between spatiality and the differentiation of social classes
resulting from IS integration it can be deducted that the presence/absence of inter-
est enforcement nodes does not depend on spatiality and its intensity is not deter-
minated by social status. From this aspect IS integration plays an outstanding role.
However in case of contacts with civil organizations spatiality is also an out-
standing factor (metropolitan dominance) where social status has a leading role.
(regardless from IS integration). And finally the increasing role of personal con-
tacts as progressing from the city centre towards the suburban zone is differenti-
ated by ISIC integration and the position within this environment.
The development orientation of the residents surveyed (the evaluation of local
development objectives) shows correlation in several aspects with IS integration
(Table 6).
After evaluating all the answers we can see that interviewees consider manag-
ing educational, cultural and health care issues the most important ones. The is-
sues of living conditions also have high importance. This means that in regional
development we can discover a change of paradigm focusing on aspects improv-
ing living conditions and concentrating on the qualitative elements of develop-
ment (Baráth et al. 2006). This does not change with IT inclusion and it is neither
differentiated by urban residential zones.
When evaluating the individual factors we consider very important to empha-
size that interviewees do not think any more that the only chances for the further
development of economy would be settling down multinational firms. This view-
point stands on two reasons. On the one hand the metropolitan areas on our sur-
vey site are concentrating these companies but in several cases these companies
fail to find a suitable environment (adequately trained labour force) for their fur-
ther expansion. On the other hand the dependence of the local economy on inter-
national investors urges the areas of our survey site for concentrating on strength-
ening their local economy. By our opinion this is the reason why our interviewees
consider a greater and more efficient support of SMEs and the expansion of local
economic cooperation clusters and multi-agent networks very important. The
measured high values in cities are primarily correlating with high social classes
and particularly with IS integration while in urban peripheries the dominance of
low classes can be observed. This may be explained by the disadvantages of
commuting or by the increasing demands for local development issues to address
these problems.
From the point of our topic the evaluation of higher education and R&D has
primary importance which on the one hand is based upon the fact that cities with
high capacities and long traditions of higher education (e.g. Miskolc, Debrecen,
Szeged and Pécs) continue to treat the development of higher education and R&D
as priorities. On the other hand in big cities where the development of these two
areas started in the last decade only (e.g. Győr, Nyíregyháza, Székesfehérvár) are

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Szépvölgyi, Ákos :
The Effects of the Information Society on Spatial Development – Hungarian Case Study.
Pécs : Centre for Regional Studies, 2009. 64. p. Discussion Papers, No. 74.
tailoring their further development steps to the current demands of economy.
Furthermore they are also emphasizing the key importance of higher education
and R&D in formulating new centres of development. The results of earlier re-
searches in the aforesaid cities are also verifying their high innovative skills and
the role of R&D and higher education in this process (Rechnitzer – Csizmadia –
Grosz 2004; Szépvölgyi, 2006). It is important that the high appreciation of R&D
and higher education is bound to high social classes which is slightly differenti-
ated by IS integration. Moreover attaching high importance to these two factors is
definitely more dominant in cities. Our results indicate differences in civil society
activities as well (Figure 11).
Table 6
The evaluation of the importance of some aspects of local development
(issues bundled into a group of 5by importance)

IS
IS
Excluded Excluded
high
low
high
low
The settlement of multinational firms?
13.8
20.2
13.7
16.9
SME
support?
39.2 27.8 35.1 26.7
Development
of
tourism?
39.0 31.3 35.8 24.8
Development of sports, active leisure and recreation
43.8 37.7 34.8 20.5
facilities?
The quality and improvement of the institutes
46.0 43.5 53.2 27.5
of primary and secondary education?
The development of the institutes of higher
44.0 38.2 45.2 22.8
education?
The development of R&D organizations?
37.5
21.7
40.3
17.0
Cultural
events?
48.8 31.0 41.8 22.8
The professional competence of settlement
72.6 69.9 65.8 48.9
managers?
Providing information about the settlement?
52.9 46.2 47.9 33.3
Involving local residents into local
decisions?
49.3 54.8 43.1 44.6
Political
stability?
40.6 52.1 48.0 29.9
The development of local civil organizations?
30.9 30.4 37.2 20.3
Building
municipal
flats?
41.8 53.1 46.3 42.9
The quality of health care services?
62.9
73.3
77.1
66.0
Public
security?
74.0 82.2 81.6 69.6
Environmental issues, nature conservation; waste
65.9 62.8 68.9 52.9
management?
Improving the local residents’ living
conditions? 64.5 77.7 76.5 70.7
Making the place attractive for
living
here?
73.1 90.1 77.5 77.7
Source: The author’s own edition based on questionnaire data.

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Szépvölgyi, Ákos :
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Pécs : Centre for Regional Studies, 2009. 64. p. Discussion Papers, No. 74.
Figure 11
The evaluation of the efficiency of the different forms of interest enforcement
depending on integration into the IS (%)
in any other voluntary
organization?
Excluded low
in a settlement protection,
Excluded high
development or tradition keeper
IS low
organization?
IS high
in a political party?
in a religious or church
organization?
in an environmental or animal
protection organization?
in a humanitarian, aid, human
rights or ethnic minority support
movement?
in trade union, professional or
smallholder's organization?
in a sports- or hiking club?
0
5
10
15
20
25

Source: The author’s own edition based on questionnaire data
The majority of our interviewees work for professional, humanitarian and reli-
gious organizations. Their involvement in such activities is influenced by spatial
position as a rule because the inclination for participating in the activities of hu-
manitarian organizations is gradually diminishing by progressing from the metro-
politan centre towards urban periphery. As it is seen from the results in Figure 11
these parameters are strongly influenced by IS integration and the high or low
social status associated with it. The degree of the involvement in the activities of
sports, professional, humanitarian, settlement development and environmental
organizations is outstanding among the interviewees who are members of the high
classes of the IS.
We find our awareness of problem sensitivity and the problems of spatial and
social inequalities also very important (Figure 12). The major general trend is that

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Szépvölgyi, Ákos :
The Effects of the Information Society on Spatial Development – Hungarian Case Study.
Pécs : Centre for Regional Studies, 2009. 64. p. Discussion Papers, No. 74.
the seriousness of the issue of homelessness depends on the distance or on the
proximity to the urban centre i.e. from spatial location. It is also important that
social deviance is almost entirely but not exclusively an urban issue. We must
also call the attention for the decreasing awareness of the social problem issues of
segregation and crime in different urban residential zones as we are progressing
from the city centre towards the urban periphery.
Figure 12
The evaluation of different problems (listed as very important issues (%)
crime
Excluded low
Excluded high
deviances
IS low
IS high
ethnic conflicts
rise of poverty
segregation
homelessness
0
10
20
30
40
50

Source: The author's own edition based on questionnaire data.
Regarding IS integration we must emphasize that low social status (regardless
from IS integration) involves higher sensitivity for social problems. The only de-
viation from this trend can be experienced during the evaluation of segregation
only. In the majority of cases (crime, deviance, poverty, homelessness) IS inte-
grated low social classes proved to be the most sensitive. According to our hy-
pothesis this may be explained by their spatial location. They live in the same
residential zone where these problems arise. Our hypothesis is verified by the
results of survey.
And finally we faced interesting inequalities regarding the utilization of ser-
vices (Figure 13). As a rule we can declare that use of education, recreation and
catering services depends which residential zones they are provided in and as a

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Szépvölgyi, Ákos :
The Effects of the Information Society on Spatial Development – Hungarian Case Study.
Pécs : Centre for Regional Studies, 2009. 64. p. Discussion Papers, No. 74.
general tendency their usage is decreasing as progressing from the city centre out
to the urban periphery. The number of visitors to cultural events, cinemas and
theatres shows a different trend. Besides city centre residents the population of
urban peripheries use these services in the greatest number. This is because the
concentration of high social classes is the highest in urban centres and due to sub-
urbanization in rich urban peripheries.
Figure 13
The utilization ratio of different services (%)
bookshop
cultural festival, concert
Excluding low
Excluding high
museum
IS low
library
IS high
cinema, theatre
public Internet access
training, courses
health service
amusement
fitness salon, swimming pool
confectionery, restaurant
0
10
20
30
40
50
60
70
80
90
100

Source: The author's edition based on questionnaire data.
IS integration and its modifying impacts on high classes involved in it are well
seen in case of cultural services. However – according to our hypothesis – just in
case of civil society activities it is not because IS and the high classes involved in
it increase the utilization of cultural services. Here we can also see a reverse trend
i.e. it accelerated the IS integration of people involved in this process. But re-
gardless from that other elements are verifying (WIR 2005, Feketén. fehéren
2006) that IS integration – by widening the access to information sources – sig-
nificantly increases the access to cultural services as well and to this IS low
classes can close up in a short time. Consequently this further increases the social
advantages of high classes.
Summing up the results of our partial survey on Hungarian metropolitan areas
we can conclude that the effects of the IS are clearly seen in the different units of
spatial structure. Thus, IS integration has a direct influence on the patterns of
residential behaviour. The correlation between IS integration and residential

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Szépvölgyi, Ákos :
The Effects of the Information Society on Spatial Development – Hungarian Case Study.
Pécs : Centre for Regional Studies, 2009. 64. p. Discussion Papers, No. 74.
behaviour seems to be the strongest in the areas of interest enforcement, quality-
oriented economic development and cultural services.
By this way IS integration further differentiates these spatial and social set-
tings. For this reason we emphasize that researches of spatial structure must apply
a complex approach attitude by a simultaneous handling of spatiality, social posi-
tion and IS integration issues.
5 What final conclusions can be drawn?
Our paper was aimed at presenting some spatial formation impacts of the infor-
mation society. The major findings of research are as follows:
1.  From theoretical aspects we consider the overview of the characteristics of IS
integration process as the most important subject of our research. Our results
have proved that information society as an emerging paradigm of social devel-
opment can be divided into several overlapping in timely and contentual as-
pects but quite distinct development phases. In our opinion this process can be
divided (both in quantitative and qualitative aspects) into three development
waves.
2.  It is an important result that that the interpretation of the emerging spatial and
social inequalities of the information society as a complex and multi-dimen-
sional system is a very important result of our research. Our results demon-
strate that the key mechanisms of the process can be arranged into two
strongly correlating sets of factors. We name external factors, those circum-
stances which a territorial unit has no impacts on. We name internal factors
those ones which have grown out of their own spatial and social environment.
We are on the opinion that the two sets of factors have joint impacts on the
evolution and nature of socio-economic differences.
3.   We consider a very important result that the by using our earlier methods we
have specified a set of research indicators for measuring spatial inequalities.
By compiling the major parameters of inequalities we set up as an initial target
the ability to explore the complexity and the embedment of IS into the tradi-
tional system of socio-spatial inequalities. To achieve it we proceeded from
such a local (in our case micro regional) level set of parameters which ex-
ceeded the database structure of all the surveys having carried out so far. After
starting out from 47 initial variables by applying a set of multivariable statisti-
cal analysis methods we were able to set up a model of the major factors of
inequalities with 38 variables and with more than 80% of hit ratio. The four
sets of factors by our opinion are verifying our hypothesis stating that spatial

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Szépvölgyi, Ákos :
The Effects of the Information Society on Spatial Development – Hungarian Case Study.
Pécs : Centre for Regional Studies, 2009. 64. p. Discussion Papers, No. 74.
development can only be examined in its full range if the conceptual system of
information society is specified in a complex way.
4. On the basis of the specified indicator system we assessed the development
level of Hungarian regions and set up four clusters of similar endowments
(groups of similar development stage). Our results have proved that the
emerging information society did not significantly reduce the development dif-
ferences of the Hungarian spatial structure (nevertheless it rather increased in
several aspects) but several features of the traditional centres have changed
and some were expanded by new ones. The increasing traditional spatial
differences intensified by the economic prosperity and the higher educational
functions of big cities – especially of traditional regional centres – further
increased their competitive advantages.
5. Exploring the impacts of the enlarging IS on the socio-economic differences of
the Hungarian metropolitan areas is another important result of our research.
Here we achieved two very important results. First by using the results of ear-
lier researches we specified by what status formulating indicators the IS in-
cluded and excluded groups are distinguished. Then we surveyed how the im-
pacts of digital inequalities influence the patterns of residential behaviour. Our
results showed that of the major social indicators of digital inclusion earnings,
educational level and the knowledge of languages are the strongest differen-
tiation factors. By these indicators we separated four groups as follows: IS in-
tegrating high classes, IS integrating low classes, excluding high classes, ex-
cluding low classes. Our hypothesis that the behavioural patterns and the
adaptive skills of these four groups are different has been proved. Thus, IS in-
tegration (in several cases further differentiated by social status and spatial lo-
cation) is definitely differentiating the patterns of residential behaviour. The
strongest correlation was seen in such areas as the ability to enforce interests,
quality-oriented economic development and the utilization of cultural services.

56

Szépvölgyi, Ákos :
The Effects of the Information Society on Spatial Development – Hungarian Case Study.
Pécs : Centre for Regional Studies, 2009. 64. p. Discussion Papers, No. 74.
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Discussion Papers 2009. No. 74.
The Effects of the Information Society on Spatial Development
– Hungarian Case Study
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Discussion Papers 2009. No. 74.
The Effects of the Information Society on Spatial Development
– Hungarian Case Study
Papers published in the Discussion Papers series

Discussion Papers / Specials
BENKŐNÉ LODNER, Dorottya (ed.) (1988): Environmental Control and Policy: Proceedings of
the Hungarian–Polish Seminar in the Theoretical Problems of Environmental Control
and Policy
OROSZ, Éva (ed.) (1988): Spatial Organisation and Regional Development Papers of the 6th Polish–
Hungarian geographical Seminar
DURÓ, Annamária (ed.) (1993): Spatial Research and the Social–Political Changes: Papers of the
7th Polish–Hungarian Seminar
DURÓ, Annamária (ed.) (1999): Spatial Research in Support of the European Integration.
Proceedings of the 11th Polish–Hungarian Geographical Seminar (Mátraháza, Hungary
17–22 September, 1998)
GÁL, Zoltán (ed.) (2001): Role of the Regions in the Enlarging European Union
HORVÁTH, Gyula (ed.) (2002): Regional Challenges of the Transition in Bulgaria and Hungary
KOVÁCS, András Donát (ed.) (2004): New Aspects of Regional Transformation and the Urban-
Rural Relationship
BARANYI, Béla (ed.) (2005): Hungarian–Romanian and Hungarian–Ukrainian border regions as
areas of co-operation along the external borders of Europe
ENYEDI, György – KOVÁCS, Zoltán (eds.) (2006): Social Changes and Social Sustainability in
Historical Urban Centres. The Case of Central Europe
KOVÁCS, András Donát (ed.) (2007): Regionality and/or locality
SZIRMAI, Viktória (ed.) (2007): Social Inequalities in Urban Areas and Globalization. The Case of
Central Europe
ILLÉS, Iván (2008): Visions and Strategies in the Carpathian Area (VASICA)
GÁL, Zoltán – RÁCZ, Szilárd (eds.) (2008): Socio-Economic Analysis of the Carpathian Area
Discussion Papers
No. 1
OROSZ, Éva (1986): Critical Issues in the Development of Hungarian Public Health with
Special Regard to Spatial Differences
No. 2
ENYEDI, György – ZENTAI, Viola (1986): Environmental Policy in Hungary
No. 3
HAJDÚ, Zoltán (1987): Administrative Division and Administrative Geography in
Hungary
No. 4
SIKOS T., Tamás (1987): Investigations of Social Infrastructure in Rural Settlements of
Borsod County
No. 5
HORVÁTH, Gyula (1987): Development of the Regional Management of the Economy in
East-Central Europe
No. 6
PÁLNÉ KOVÁCS, Ilona (1988): Chance of Local Independence in Hungary
No. 7
FARAGÓ, László – HRUBI, László (1988): Development Possibilities of Backward
Areas in Hungary
No. 8
SZÖRÉNYINÉ KUKORELLI, Irén (1990): Role of the Accessibility in Development and
Functioning of Settlements

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Discussion Papers 2009. No. 74.
The Effects of the Information Society on Spatial Development
– Hungarian Case Study
No. 9
ENYEDI, György (1990): New Basis for Regional and Urban Policies in East-Central
Europe
No. 10
RECHNITZER, János (1990): Regional Spread of Computer Technology in Hungary
No. 11
SIKOS T., Tamás (1992): Types of Social Infrastructure in Hungary (to be not published)
No. 12
HORVÁTH, Gyula – HRUBI, László (1992): Restructuring and Regional Policy in
Hungary
No. 13
ERDŐSI, Ferenc (1992): Transportation Effects on Spatial Structure of Hungary
No. 14
PÁLNÉ KOVÁCS, Ilona (1992): The Basic Political and Structural Problems in the
Workings of Local Governments in Hungary
No. 15
PFEIL, Edit (1992): Local Governments and System Change. The Case of a Regional
Centre
No. 16
HORVÁTH, Gyula (1992): Culture and Urban Development (The Case of Pécs)
No. 17
HAJDÚ, Zoltán (1993): Settlement Network Development Policy in Hungary in the
Period of State Socialism (1949–1985)
No. 18
KOVÁCS, Teréz (1993): Borderland Situation as It Is Seen by a Sociologist
No. 19
HRUBI, L. – KRAFTNÉ SOMOGYI, Gabriella (eds.) (1994): Small and medium-sized
firms and the role of private industry in Hungary
No. 20
BENKŐNÉ Lodner, Dorottya (1995): The Legal-Administrative Questions of
Environmental Protection in the Republic of Hungary
No. 21   ENYEDI, György (1998): Transformation in Central European Postsocialist Cities
No. 22   HAJDÚ, Zoltán (1998): Changes in the Politico-Geographical Position of Hungary in the
20th Century
No. 23
HORVÁTH, Gyula (1998): Regional and Cohesion Policy in Hungary
No. 24
BUDAY-SÁNTHA, Attila (1998): Sustainable Agricultural Development in the Region
of the Lake Balaton
No. 25
LADOS, Mihály (1998): Future Perspective for Local Government Finance in Hungary
No. 26
NAGY, Erika (1999): Fall and Revival of City Centre Retailing: Planning an Urban
Function in Leicester, Britain
No. 27
BELUSZKY, Pál (1999): The Hungarian Urban Network at the End of the Second
Millennium
No. 28
RÁCZ, Lajos (1999): Climate History of Hungary Since the 16th Century: Past, Present
and Future
No. 29
RAVE, Simone (1999): Regional Development in Hungary and Its Preparation for the
Structural Funds
No. 30
BARTA, Györgyi (1999): Industrial Restructuring in the Budapest Agglomeration
No. 31
BARANYI, Béla–BALCSÓK, István–DANCS, László–MEZŐ, Barna (1999): Borderland
Situation and Peripherality in the North-Eastern Part of the Great Hungarian Plain
No. 32
RECHNITZER, János (2000): The Features of the Transition of Hungary’s Regional
System
No. 33
MURÁNYI, István–PÉTER, Judit–SZARVÁK, Tibor–SZOBOSZLAI, Zsolt (2000):
Civil Organisations and Regional Identity in the South Hungarian Great Plain
No. 34
KOVÁCS, Teréz (2001): Rural Development in Hungary
No. 35
PÁLNÉ, Kovács Ilona (2001): Regional Development and Governance in Hungary
No. 36
NAGY, Imre (2001): Cross-Border Co-operation in the Border Region of the Southern
Great Plain of Hungary

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Discussion Papers 2009. No. 74.
The Effects of the Information Society on Spatial Development
– Hungarian Case Study
No. 37
BELUSZKY, Pál (2002): The Spatial Differences of Modernisation in Hungary at the
Beginning of the 20th Century
No. 38
BARANYI, Béla (2002): Before Schengen – Ready for Schengen. Euroregional
Organisations and New Interregional Formations at the Eastern Borders of Hungary
No. 39
KERESZTÉLY, Krisztina (2002): The Role of the State in the Urban Development of
Budapest
No. 40
HORVÁTH, Gyula (2002): Report on the Research Results of the Centre for Regional
Studies of the Hungarian Academy of Sciences
No. 41
SZIRMAI, Viktoria – A. GERGELY, András – BARÁTH, Gabriella–MOLNÁR, Balázs
– SZÉPVÖLGYI, Ákos (2003): The City and its Environment: Competition and/or Co-
operation? (A Hungarian Case Study)
No. 42
CSATÁRI, Bálint–KANALAS, Imre–NAGY, Gábor –SZARVÁK, Tibor (2004): Regions
in Information Society – a Hungarian Case-Study
No. 43
FARAGÓ, László (2004): The General Theory of Public (Spatial) Planning (The Social
Technique for Creating the Future)
No. 44
HAJDÚ, Zoltán (2004): Carpathian Basin and the Development of the Hungarian
Landscape Theory Until 1948
No. 45
GÁL, Zoltán (2004): Spatial Development and the Expanding European Integration of the
Hungarian Banking System
No. 46
BELUSZKY, Pál – GYŐRI, Róbert (2005): The Hungarian Urban Network in the
Beginning of the 20th Century
No. 47
G. FEKETE, Éva (2005): Long-term Unemployment and Its Alleviation in Rural Areas
No. 48
SOMLYÓDYNÉ PFEIL, Edit (2006): Changes in The Organisational Framework of
Cooperation Within Urban Areas in Hungary
No. 49
MEZEI, István (2006): Chances of Hungarian–Slovak Cross-Border Relations
No. 50  RECHNITZER, János – SMAHÓ, Melinda (2006): Regional Characteristics of Human
Resources in Hungary During the Transition
No. 51
BARTA, Györgyi – BELUSZKY, Pál – CZIRFUSZ, Márton – GYŐRI, Róbert –
KUKELY, György (2006): Rehabilitating the Brownfield Zones of Budapest
No. 52
GROSZ, András (2006): Clusterisation Processes in the Hungarian Automotive Industry
No. 53
FEKETE, G. Éva – HARGITAI, Judit – JÁSZ, Krisztina – SZARVÁK, Tibor –
SZOBOSZLAI, Zsolt (2006): Idealistic Vision or Reality? Life-long learning among
Romany ethnic groups
No. 54
BARTA, Györgyi (ed.) (2006): Hungary – the New Border of the European Union
No. 55
GÁL, Zoltán (2006): Banking Functions of the Hungarian Urban Network in the Early
20th Century.
No. 56
SZÖRÉNYINÉ, Kukorelli Irén (2006): Relation Analysis in Rural Space – A Research
Method for Exploring the Spatial Structure in Hungary
No. 57
MAUREL, Marie-Claude – PÓLA, Péter (2007): Local System and Spatial Change – The
Case of Bóly in South Transdanubia
No. 58
SZIRMAI, Viktória (2007): The Social Characteristics of Hungarian Historic City Centres
No. 59
ERDŐSI, Ferenc – GÁL, Zoltán – GIPP, Christoph – VARJÚ, Viktor (2007): Path
Dependency or Route Flexibility in Demand Responsive Transport? The Case Study of
TWIST project
No. 60
PÓLA, Péter (2007): The Economic Chambers and the Enforcement of  Local Economic
Interests

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The Effects of the Information Society on Spatial Development
– Hungarian Case Study
No. 61
BUDAY-SÁNTHA, Attila (2007): Development Issues of the Balaton Region
No. 62
LUX, Gábor (2008): Industrial Development, Public Policy and Spatial Differentiation in
Central Europe: Continuities and Change
No. 63
MEZEI, Cecília (2008): The Role of Hungarian Local Governments in Local Economic
Development
No. 64
NAGY, Gábor (2008): The State of the Info-communication Markets in Dél-Alföld
Region – Hungary
No. 65
HORVÁTH, Gyula (2008): Regional Transformation in Russia
No. 66
BELUSZKY, Pál – SIKOS T., Tamás (2008): Changing Village-Typology of Rural
Settlements in Hungary at the Beginning of the Third Millennium
No. 67
CSIZMADIA, Zoltán – GROSZ, András (2008): Regional Innovation System in West
Transdanubia
No. 68
HARDI, Tamás (ed.) (2008): Transborder Movements and Relations in the Slovakian–
Hungarian Border Regions
No. 69
ERDŐSI, Ferenc (2008): Global and Regional Roles of the Russian Transport
Infrastructures
No. 70
CSIZMADIA, Zoltán (2009): Cooperation and Innovativity: the Network Foundations of
the Regional System of Innovation
No. 71
HAJDÚ, Zoltán – LUX, Gábor – PÁLNÉ KOVÁCS, Ilona – SOMLYÓDYNÉ PFEIL,
Edit (2009): Local Dimensions of a Wider European Neighbourhood: Crossborder
Relations and Civil Society in the Hungarian–Ukrainian Border Arean
No. 72
HORVÁTH, Gyula (2009): Cohesion Deficiencies in Eastern and Central Europe –
Inequalities of Regional Research Area
No. 73
PÁLNÉ KOVÁCS, Ilona –VARJÚ, Viktor (eds.) (2009): Governance for Sustainability –
Two Case Studies from Hungary

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