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A Southern Europe strategy based on vision and industrial policy

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  • Karl Aiginger

    (Österreichischen Institut für Wirtschaftsforschung (WIFO) Austrian Institute of Economic Research)

Abstract

This paper argues that an industrial policy strategy is needed for the southern European countries for regaining competitiveness and stability. That strategie need to be different from the past industrial policy, more systemic, and should include innovation strategies and ways to upgrade education. They should embrace competition on national and international markets as driver of change. They should create and support clusters and industrial zones, which could then be the basis for technology transfers, foreign direct investment and for making use of globalisation. New industrial policies should emphasise on sectors where society has a long term interest, e.g. alternative energies or health tourism. In short, industrial policy is a necessary strategy element in times of budget consolidation especially for the southern European periphery.

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File URL: http://www.ogasun.ejgv.euskadi.net/r51-k86aekon/es/k86aEkonomiazWar/ekonomiaz/downloadPDF?R01HNoPortal=true&idpubl=78®istro=1250
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Bibliographic Info

Article provided by Gobierno Vasco / Eusko Jaurlaritza / Basque Government in its journal EKONOMIAZ.

Volume (Year): 82 (2013)
Issue (Month): 01 ()
Pages: 127-168

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Handle: RePEc:ekz:ekonoz:2013107

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Related research

Keywords: Competitiveness of Southern Europe; European periphery; new industrial policy; growth oriented consolidation; socioeconomic systems;

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References

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  1. Pierre-André Buigues & Khalid Sekkat, 2011. "Public Subsidies to Business: An International Comparison," Journal of Industry, Competition and Trade, Springer, vol. 11(1), pages 1-24, March.
  2. Karl Aiginger & Susanne Sieber, 2006. "The Matrix Approach to Industrial Policy," International Review of Applied Economics, Taylor & Francis Journals, vol. 20(5), pages 573-601.
  3. Christian Reiner, 2012. "Play it again, Sam: Die Renaissance der Industriepolitik in der Großen Rezession," Wirtschaft und Gesellschaft - WuG, Kammer für Arbeiter und Angestellte für Wien, Abteilung Wirtschaftswissenschaft und Statistik, vol. 38(1), pages 15-56.
  4. Paul Krugman, 1990. "Increasing Returns and Economic Geography," NBER Working Papers 3275, National Bureau of Economic Research, Inc.
  5. Karl Aiginger, 2006. "Competitiveness: From a Dangerous Obsession to a Welfare Creating Ability with Positive Externalities," Journal of Industry, Competition and Trade, Springer, vol. 6(2), pages 161-177, June.
  6. Karl Aiginger, 2007. "Industrial Policy: A Dying Breed or A Re-emerging Phoenix," Journal of Industry, Competition and Trade, Springer, vol. 7(3), pages 297-323, December.
  7. Philippe Aghion & Julian Boulanger & Elie Cohen, 2011. "Rethinking industrial policy," Policy Briefs 566, Bruegel.
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