This thesis is a study of Community Economic Development (CED), specifically the CED used by the Development Isle Madame Association Inc. (DIMA) in Isle Madame to improve the economic and social conditions of their community after a major economic crisis. In this thesis, CED is defined as a diverse and varying program of activities that are planned and executed by a specific geographic locality of people or a specific group of people sharing similar interests to improve living and working conditions in their locality. Typically, CED is economic, but it can also be social, cultural, or environmental. Also important are the community development organizations (CDOs), like DIMA, who do CED. In short, no matter what kinds of CED are being practised, the CED process must include local communication, participation, determination, ownership, and control. The study results show that the DIMA CED projects with a greater inclusion of these community factors fared out much better than those projects that did not. The thesis reviews the literature that supports these results, such as the Antigonish Movement during the 1920s and the 1930s in Atlantic Canada, and its legacy of community empowerment, adult education, activism and cooperation, which are still relevant today. Also, the thesis reviews the liberal and the progressive traditions of CED, and explores how CEO can be an important alternative to the present capitalist-based political economy. Other topics include the role of the government in CED, as well as recommendations for DIMAs future CED work and for further studies in CED practice and theory.