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The aim of this paper is to outline the progress of the University ofAkureyri and its effect on regional development in Northern Iceland during theperiod of 1987–2012. A case study methodology was used, drawing uponhistorical material, official sources, and interviews. The main findings are thatthe university has greatly stimulated knowledge-based development inNorthern Iceland. It has enhanced regional innovation dynamism bystrengthening human, relational, structural and social capital of the area. Thispaper has drawn attention to diverse positive effects of a small university withregard to regional- and knowledge-based development. As such, it might serveas a catalyst for further research in this area.Peer ReviewedRitrýnt tímari

A small university and knowledge-based development: a case of Northern Iceland