Development and Modern Industrial Policy in Practice

Edited by Jesus Felipe, Advisor in the Office of the Chief Economist, Economic Research and Regional Cooperation Department, Asian Development Bank, Manila, Philippines

• Contents:Foreword Ha-Joon Chang1. Modern Industrial Policy Jesus Felipe2. Issues in Modern Industrial Policy (I): Sector Selection, Who, How and Sector Promotion? Jesus Felipe and Changyong Rhee3. Issues in Modern Industrial Policy (II): Human Capital and Innovation and Monitoring and EvaluationJesus Felipe and Changyong Rhee4. Capability Building and Industrial DiversificationKeun Lee5. Industrial Policy Design and Implementation ChallengesMushtaq H. Khan6. Catching Up: Structural Transformation and DiversificationJustin Yifu Lin and Yan Wang7. Economic Diversification: Implications for KazakhstanJesus Felipe and Cesar A. Hidalgo8. Industrial Diversification in the People’s Republic of ChinaJustin Yifu Lin, Cheryl Xiaoning Long and Xiaobo Zhang9. Do as I Say, or As I Do? US Innovation and Industrial Policy since the 1980sMatthew R. Keller and Fred Block10. The Republic of Korea’s Financial Support for Small and Medium Enterprises and Venture BusinessesJung-moh Chang11. Industrial Policy: The Australian Experience William Francis Mitchell12. Diversification and Industrial Policies in MalaysiaTham Siew Yean13. Industrial Policy in the European Union Kristine Farla, Francesca Guadagno and Bart VerspagenIndex

’This superb text defines and describes modern industrial policy. For many years economists, politicians, and policymakers have worried over inward-looking and damaging industrial policies, associating them with poor economic performance and arrested industrial development. At last we have a book which identifies and analyses new forms of modern industrial policy which work effectively and are able to overcome the problems of the past. The book is replete with concrete examples and new conceptual developments, showing how modern industrial policy is able to initiate, upgrade, and transform economic activity for the benefit of all. The evidence is used to provide a new theory of industrial policy, distinguishing modern industrial policy from the practices of the past – leaving no room for doubt as to how policymakers should proceed in the twenty-first century. Essential reading for policymakers, analysts, scholars, teachers, and consultants concerned with industrial policy and modern economic development.’