Building on the centrality of structural change and diversification for economic development, Tilman Altenburg and Wilfried Lutkenhorst offer an in-depth assessment of both the potentials and perils of industrial policy in developing countries. Using a range of insightful case studies, they illustrate the dilemma faced by many of these countries: how to direct their own economic and social development, through what are often incipient and weak institutions. Industrial Policy in Developing Countries offers a much needed, exclusive focus on countries at relatively low income levels, recognising the multi-faceted challenges their policy-makers face: to enhance productivity of huge numbers of informal enterprises, to build linkages among firms at radically different levels of development, to create a system of business development services almost from scratch and above all to deliver results to populations that demand rapid economic, social and environmental progress. In producing a realistic, evidence-based assessment of industrial policy and how we can expect it to develop, the authors have ensured this book will appeal to both development researchers and industrial policy practitioners, particularly those working in developing countries.
Contents: 1. Why this Book? 2. Societal Goals Ruling Markets 3. Industrial Policy for Social Inclusion 4. Industrial Policy for a Green Transformation 5. Governance and Governments: Balancing Market and State Failure 6. What is Special about Industrial Policy in Developing Countries? 7. Selected Developing Country Case Studies 8. Comparative Insights into Success and Failure 9. Rethinking Industrial Policy in Developing Countries Index