IDEAS home Printed from https://ideas.repec.org/a/oup/wbrobs/v21y2006i2p267-297.html
   My bibliography  Save this article

Is There a Case for Industrial Policy? A Critical Survey

Author

Listed:
  • Howard Pack
  • Kamal Saggi

Abstract

What are the underlying rationales for industrial policy? Does empirical evidence support the use of industrial policy for correcting market failures that plague the process of industrialization? This article addresses these questions through a critical survey of the analytical literature on industrial policy. It also reviews some recent industry successes and argues that public interventions have played only a limited role. Moreover, the recent ascendance and dominance of international production networks in the sectors in which developing countries once had considerable success implies a further limitation on the potential role of industrial policies as traditionally understood. Overall, there appears to be little empirical support for an activist government policy even though market failures exist that can, in principle, justify the use of industrial policy. Copyright 2006, Oxford University Press.

Suggested Citation

  • Howard Pack & Kamal Saggi, 2006. "Is There a Case for Industrial Policy? A Critical Survey," World Bank Research Observer, World Bank Group, vol. 21(2), pages 267-297.
  • Handle: RePEc:oup:wbrobs:v:21:y:2006:i:2:p:267-297
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a search for a similarly titled item that would be available.

    References listed on IDEAS

    as
    1. LaLonde, Robert J, 1986. "Evaluating the Econometric Evaluations of Training Programs with Experimental Data," American Economic Review, American Economic Association, vol. 76(4), pages 604-620, September.
    2. Newman, John & Rawlings, Laura & Gertler, Paul, 1994. "Using Randomized Control Designs in Evaluating Social Sector Programs in Developing Countries," World Bank Research Observer, World Bank Group, vol. 9(2), pages 181-201, July.
    3. Addison, John T & Siebert, W Stanley, 1994. "Vocational Training and the European Community," Oxford Economic Papers, Oxford University Press, vol. 46(4), pages 696-724, October.
    4. Howard S. Bloom, 1990. "Back to Work: Testing Reemployment Services for Displaced Workers," Books from Upjohn Press, W.E. Upjohn Institute for Employment Research, number btw.
    5. Heckman, James, 2013. "Sample selection bias as a specification error," Applied Econometrics, Publishing House "SINERGIA PRESS", pages 129-137.
    6. Leigh, Duane E., 1992. "Retraining displaced workers : what can developing countries learn from OECD nations?," Policy Research Working Paper Series 946, The World Bank.
    7. Christopher J. O'Leary, 1995. "An Impact Analysis of Labor Market Programs in Hungary," Upjohn Working Papers and Journal Articles 95-30, W.E. Upjohn Institute for Employment Research.
    8. Revenga, Ana & Riboud, Michelle & Tan, Hong, 1994. "The Impact of Mexico's Retraining Program on Employment and Wages," World Bank Economic Review, World Bank Group, vol. 8(2), pages 247-277, May.
    9. Grossman, Jean Baldwin, 1994. "Evaluating Social Policies: Principles and U.S. Experience," World Bank Research Observer, World Bank Group, vol. 9(2), pages 159-180, July.
    Full references (including those not matched with items on IDEAS)

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:oup:wbrobs:v:21:y:2006:i:2:p:267-297. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Oxford University Press) or (Christopher F. Baum). General contact details of provider: http://edirc.repec.org/data/wrldbus.html .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.