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Industrialization In Developing Countries: Some Evidence From A New Economic Geography Perspective

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Jörg MAYER

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Abstract

The paper draws broad predictions from the developmental elements of new economic geography models and subjects them to empirical scrutiny. Industrial activity has spread from developed to geographically close developing countries in sectors that are intensive in immobile primary factors and not too heavily dependent on linkages with other firms. Only developing countries with an already established industrial base achieved industrialization in other sectors. The sizable change in both the size and structure of manufactured exports from developing countries has not been associated with corresponding changes in manufacturing value added. To benefit more from relocating industrial activities, developing countries need to create the critical mass of linkages that provide pecuniary externalities to industrial firms.

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Paper provided by United Nations Conference on Trade and Development in its series UNCTAD Discussion Papers with number 174.

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Date of creation: 2004
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Handle: RePEc:unc:dispap:174

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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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  15. Stephen Redding & Anthony J. Venables, 2003. "Geography and Export Performance: External Market Access and Internal Supply Capacity," NBER Working Papers 9637, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  16. Puga, Diego, 1999. "The rise and fall of regional inequalities," European Economic Review, Elsevier, vol. 43(2), pages 303-334, February. [Downloadable!] (restricted)
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  22. Gereffi, Gary, 1999. "International trade and industrial upgrading in the apparel commodity chain," Journal of International Economics, Elsevier, vol. 48(1), pages 37-70, June. [Downloadable!] (restricted)
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(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Koch, Dirk-Jan, 2007. "Blind Spots on the Map of Aid Allocations: Concentration and Complementarity of International NGO Aid," Working Papers UNU-WIDER Research Paper , World Institute for Development Economic Research (UNU-WIDER). [Downloadable!]
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