Industria del automóvil y desarrollo económico regional: la experiencia de Navarra (c. 1955-1980)

The case of Navarre during 1955-1980 is a significant example of successful regional economic development through the creation of an industrial area based on car production. In order to enable settlement of the car factory in Landaben, a decisive institutional action enabling economic growth, together with the initiatives from the private sector as a reaction to national market’s encouragements, were necessary. Fiscal incentives and public subsidies, business capacity for technological innovation and qualified workers let to the creation of a network of supplying companies providing spare parts for the manufacturing and assembly plant. However, the AUTHI car company was severely beaten by the international economic crisis of the 1970s. Purchased by the INI consortium, SEAT’s managers set up the grounds that would transform Landaben into an automobile exporter plant. This case analysis shows therefore some of the features of the Spanish industrialization and regional development under General Franco’s regime. KEY Classification-JEL: H3, L6, N6, N8