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The scope for industrial policy in a free trade environment

Author

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  • José Tavares de Araujo Jr.

Abstract

The article discusses the contemporary dilemma of industrial policy, which consistsof defining national growth strategies consistent with the dynamics of a globalizedeconomy. The argument consists of three parts. The first suggests that the concept of firmproposed by Coase in 1937 is a fundamental instrument for analyzing the changes that occurredin the 1980s in international competition standards. The second describes the domesticdimension of the industrial policy dilemma, showing the macroeconomic restrictions andthe role of the institutions that regulate economic power. The third considers the internationaldimension, highlighting the importance of GATT as a forum for negotiating conflictsbetween domestic policies and international interests. JEL classification: F13; F68.

Suggested Citation

  • José Tavares de Araujo Jr., 1993. "The scope for industrial policy in a free trade environment," Brazilian Journal of Political Economy, Center of Political Economy, vol. 13(3), pages 441-453.
    • Handle: RePEc:ekm:repojs:v:13:y:1993:i:3:p:441-453:id:1337
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    File URL: https://centrodeeconomiapolitica.org.br/repojs/index.php/journal/article/view/1337/1323
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    Citations

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    Cited by:

    1. Naudé, Wim, 2010. "Industrial Policy Old and New Issues," WIDER Working Paper Series 106, World Institute for Development Economic Research (UNU-WIDER).

    More about this item

    Keywords

    Industrial policy; globalization; trade;
    All these keywords.

    JEL classification:

    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
    • F68 - International Economics - - Economic Impacts of Globalization - - - Policy

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