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Governments, Firms, and National Wealth: A New Pulp and Paper Industry in Postwar New Zealand

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  • Baker, Astrid

Abstract

The state played an important role as political and economic manager in postwar New Zealand. By fostering manufacturing, governments aimed to provide paid, productive employment, conserve foreign exchange, and support a welfare state. The history of pulp and papermaking using state-planted pine forests is a good example of a government-business joint venture to create a new export industry and new national wealth. Governments of both major political parties cooperated in capital formation, land use, hydroelectricity, roads, railroads, a modern port, and town construction. This longterm state commitment helped propel the industry toward largescale vertical integration so that it could achieve economies of scale and scope and compete in world markets.

Suggested Citation

  • Baker, Astrid, 2004. "Governments, Firms, and National Wealth: A New Pulp and Paper Industry in Postwar New Zealand," Enterprise & Society, Cambridge University Press, vol. 5(4), pages 669-690, December.
    • Handle: RePEc:cup:entsoc:v:5:y:2004:i:04:p:669-690_01
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    Cited by:

    1. Peltoniemi, Mirva, 2013. "Mechanisms of capability evolution in the Finnish forest industry cluster," Journal of Forest Economics, Elsevier, vol. 19(2), pages 190-205.
    2. Figueiredo, Paulo N., 2016. "Evolution of the short-fiber technological trajectory in Brazil's pulp and paper industry: The role of firm-level innovative capability-building and indigenous institutions," Forest Policy and Economics, Elsevier, vol. 64(C), pages 1-14.

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