Industrial Policy and Development

Industrial Policy and Development

The Political Economy of Capabilities Accumulation

Herausgeber: Dosi, Giovanni; Stiglitz, Joseph E.; Cimoli, Mario
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In the 1990s, development policy advocated by international financial institutions was influenced by Washington Consensus thinking. This strategy, based largely on liberalization, privatization, and price-flexibility, downplayed, if not disregarded, the role of government in steering the processes of technological learning and economic growth. With the exception of the Far East, many developing countries adopted the view that industrial policy resulted in inefficiency and poor economic growth. Ample historical evidence shows that industrial policy does work, when the right technologies and ind...