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The Flowchart Model of Cluster Policy: The Automobile Industry Cluster in China


  • Kuchiki, Akifumi


This paper proposes a general model of the flowchart approach to industrial cluster policy and applies this model to Guangzhou's automobile industry cluster. The flowchart approach to industrial cluster policy is an action plan for prioritizing policy measures in a time-ordered series. We reached the following two conclusions. First,we clarified the effects of Honda, Nissan, and Toyota on agglomeration in Guangzhou's automobile industry cluster. Second, we established that local governments play a crucial role in successful industrial cluster policy, and that the mayor of the local government should be offered incentives in order to target industrial clustering and implement cluster policy.

Suggested Citation

  • Kuchiki, Akifumi, 2007. "The Flowchart Model of Cluster Policy: The Automobile Industry Cluster in China," IDE Discussion Papers 100, Institute of Developing Economies, Japan External Trade Organization(JETRO).
  • Handle: RePEc:jet:dpaper:dpaper100

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    References listed on IDEAS

    1. Roland, Gerard & Verdier, Thierry, 2003. "Law enforcement and transition," European Economic Review, Elsevier, vol. 47(4), pages 669-685, August.
    2. Allen, Franklin & Qian, Jun & Qian, Meijun, 2005. "Law, finance, and economic growth in China," Journal of Financial Economics, Elsevier, vol. 77(1), pages 57-116, July.
    3. Papke, Leslie E & Wooldridge, Jeffrey M, 1996. "Econometric Methods for Fractional Response Variables with an Application to 401(K) Plan Participation Rates," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 11(6), pages 619-632, Nov.-Dec..
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    Cited by:

    1. Xiyou He, 2011. "Interaction between Transnational Corporations and Local Government on Industry Clusters in China: The Case of the Automobile Industry," Chapters,in: Industrial Clusters, Upgrading and Innovation in East Asia, chapter 9 Edward Elgar Publishing.

    More about this item


    Prioritization of cluster policy; Linearization of policy measures; Flowchart model; Inductive method; Anchor firm; Capacity; China; Industrial estates; Industrial policy; Automobile industry; 中国; 工業地帯; 産業政策; 自動車産業;

    JEL classification:

    • G18 - Financial Economics - - General Financial Markets - - - Government Policy and Regulation
    • O18 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure
    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes

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    This item is featured on the following reading lists or Wikipedia pages:
    1. Studies on the automobile industry


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