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2.1 INTRODUCTION<br />

CHAPTER TWO<br />

LITERATURE REVIEW<br />

Those who do research belong to a community <strong>of</strong> scholars, each <strong>of</strong><br />

whom has journeyed into the unknown to bring back a fact, a truth, a<br />

point <strong>of</strong> light. What they have recorded <strong>of</strong> their journey, and their<br />

findings will make it easier for you to explore the unknown: To help<br />

you also to discover a fact, a truth, or bring back a point <strong>of</strong> light<br />

(Leedy, 1993: 87).<br />

Following on the aforementioned assertion, this chapter seeks to present the literature review<br />

<strong>of</strong> this research, which forms the foundation for addressing the objectives and hypothesis <strong>of</strong><br />

this investigation.<br />

Against this backdrop, the literature review <strong>of</strong> the study is based on an in-depth insight into<br />

theories and models <strong>of</strong> local economic development (LED) as well as models <strong>of</strong> land use in<br />

cities. As part <strong>of</strong> the literature, this section <strong>of</strong> the research further reviews alternatives for<br />

local government restructuring such as regionalism, inter-municipal co-operation and<br />

functional consolidation.<br />

2.2 THEORIES OF LOCAL ECONOMIC DEVELOPMENT (LED)<br />

In this section, the aim is tw<strong>of</strong>old. First, it locates pro-poor and pro-grO\iith LED<br />

interventions as part <strong>of</strong> a wider range <strong>of</strong> LED interventions that have been recognised in<br />

international research on LED. As part <strong>of</strong>the literature, the study draws from the developing<br />

world record, and presents South African urban experience <strong>of</strong> pro-poor LED perspectives.<br />

Across the international experience, the range <strong>of</strong> LED initiatives and responses in cities can<br />

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