Irish Industrial Policy: The Constraints and Opportunities of an Open Economy

1983 ◽  
Vol 3 (1) ◽  
pp. 81-95 ◽  
Author(s):  
Brian Girvin
Keyword(s):  
Multinational Corporations ◽  
Industrial Policy ◽  
Open Economy ◽  
Industrial Development ◽  
State Intervention ◽  
Industrial Sector ◽  
The State ◽  
Industrial Growth ◽  
Capital Export ◽  
Recent Origin

ABSTRACTIrish industrial policy is of recent origin. Free trade has replaced an earlier reliance on protection to generate industrial growth. For the past 25 years Irish industrial policy has been characterised by the attraction of foreign capital, export-led industrialisation, and state intervention. The Industrial Development Authority has been the major agency in orchestrating this policy of development. Multinational corporations have made a significant contribution to this process. The current recession has led to a deeper involvement by the state in industrial policy. Corporatist instruments have been devised which retain considerable influence. Industrial policy is experiencing further change. There is a new emphasis on the generation of an independent Irish industrial sector, while monetary constraints are imposing restrictions on the range of policy options open to the state.

La politique industrielle dans les économies capitalistes avancées

1981 ◽  
Vol 14 (1) ◽  
pp. 3-35 ◽  
Author(s):  
André Blais ◽  
Philippe Faucher
Keyword(s):  
Industrial Policy ◽  
Free Market ◽  
Political Legitimacy ◽  
State Intervention ◽  
The State ◽  
National Defense ◽  
Industrial Growth ◽  
Common Thread ◽  
The Common ◽  
Post War

This article analyzes the principal features of industrial policy in the post-war advanced capitalist economies. Industrial policy is defined as a series of discriminatory measures developed by the state to promote industrial growth. Four main directions are outlined: increased financial aid to replace tariff protection; preference accorded to the more concentrated industries, particularly those related to, or in association with, national defense; new interest in the development of peripheral regions; and priority accorded to large corporations.A number of explanations are proposed for each of these main policies. The common thread running through them is the process of internationalization of production and trade liberalization. These lead each national economy to redefine its role in the global system. The analysis also underlines the ambivalent position of the state vis-à-vis a free market. Capitalist states rely upon the market to assure economic growth. The growth, nevertheless, is accompanied by regional and sectoral disequilibria which can reduce the political legitimacy of the state. This is why the state seeks to regulate growth, with a minimum of social conflict. State intervention is not designed solely to promote the interests of a class of large capitalists, but corresponds at the same time to the logic of capitalist accumulation and the requirements of political legitimacy.

scholarly journals The institutional framework for industrial sector modernization: the essence and ways of improvement

2020 ◽  
pp. 73-84
Author(s):  
Liudmyla Deineko ◽  
Olena Tsyplitska
Keyword(s):  
Industrial Policy ◽  
Industrial Development ◽  
Production Method ◽  
Industrial Sector ◽  
The State ◽  
Foreign Direct Investments ◽  
The Government ◽  
Low Efficiency ◽  
Institutional Mechanism ◽  
Selection Of

Relevance of research topic. An institutional mechanism aimed at progressive technical and technological modernization of the production sector as the basis of the national economy is an important component of the transition of Ukrainian industry to an innovative type of development. Formulation of the problem. At the same time, the growth in the level of depreciation of the fixed assets of Ukraine's industry already accounts for two thirds of their initial value, which indicates the gaps in the structure and links between the components of the existing institutional mechanism and leads to its low efficiency. Analysis of recent research and publications. The questions of the essence of the institutional mechanism of economic development and industrial modernization were studied in the works of D. North, C. Polanyi, J. Hodgson, I. Averina, V. Heyets, A. Grytsenko, S. Istomin, G. Kleiner, N. Lebedeva, A. Plotnikova, S. Yashchenko, etc. Selection of unexplored parts of the general problem. Despite the acuteness of the problem of technological renewal of the industrial sector and increase of its competitiveness by means of transition to the innovative type of development, the aspect of industrial modernization has not been studied enough. Setting the task, the purpose of the study. The purpose of the research is to define the essence, structure and directions of development of the institutional mechanism of industrial modernization for overcoming the stagnation and increase the competitiveness of domestic industrial production. Method or methodology for conducting research. Structural-logic, specifically economic methods, method of scientific abstraction, institutional analysis, economic and statistical and expert methods are used in the research. Presentation of the main material (results of work). Institutional mechanism of industrial modernization is a multi-level formation with a large number of vertical and horizontal links between institutions, in which the necessary flows of knowledge, technology and capital are formed with the help of specific instruments, the effectiveness of which is determined by the quality of institutions. Analysis of the state of industrial modernization has revealed a significant share of outdated technologies in the basic industries, a significant outflow of foreign direct investments and insufficient capital investments, which is associated with imperfections in the existing institutional mechanism. They should be managed through a system of monitoring of state of industrial modernization and re-institutionalization of linkages between the state and industrial stakeholders as an important tasks of industrial policy. The field of application results. The results of the study can be used in the improvement of the legal and regulatory framework for industrial development, in the development of programs and action plans of the government to overcome the crisis in the Ukrainian economy. Conclusions according to the article. The research has revealed the essence of the institutional mechanism for modernization of the industrial sector, defined its structure and analyzed its components – institutions, institutes, communication channels and instruments of stimulation. It was determined that its development should be regulated by the state through monitoring of the state of industrial modernization, revision of legislation, selection of effective instruments of industrial policy, reinstitutionalization of communications and formation partnership within the framework “state - industry - science”.

MIDC Role in Infrastructural Development in Navi Mumbai

2016 ◽  
Vol 4 (1) ◽  
Author(s):  
Prashant H. Bhagat
Keyword(s):  
Industrial Development ◽  
Industrial Sector ◽  
Vital Role ◽  
The State ◽  
Infrastructure Development ◽  
Industrial Areas ◽  
Industrial Estates ◽  
Development Corporation ◽  
Set Up ◽  
Industrial Development Corporation

The BID (Board of Industrial Development) framed the legislation and it was introduced before the state legislation and passed in the form of Maharashtra Industrial Act which gave birth to Maharashtra Industrial Development Corporation (MIDC), as a separate corporation on August 1, 1962. The BID was the first personnel strength of MIDC. A small ceremony at Wagle Estate Thane, under the Chairmanship of the Chief Minister Shri Y.B. Chavan, marked the birth of MIDC on August 1, 1962. The Board of Industrial Development during its existence between October 1, 1960 and August 1, 1962 has done enough spade work to identify the locations for setting up industrial areas in different parts of the state. Thus, right in the first year of establishment MIDC came up with 14 industrial areas, to initiate action for infrastructure and help entrepreneurs set up the industrial units in those areas. Maharashtra Industrial Development Corporation is the nodal industrial infrastructure development agency of the Maharashtra Government with the basic objective of setting up industrial areas with a provision of industrial infrastructure all over the state for planned and systematic industrial development. MIDC is an innovative, professionally managed, and user friendly organization that provides the world industrial infrastructure. MIDC has played a vital role in the development of industrial infrastructure in the state of Maharashtra. As the state steps into the next millennium, MIDC lives up to its motto Udyamat Sakal Samruddhi i.e., prosperity to all through industrialization. Indeed, in the endeavor of the state to retain its prime position in the industrial sector, MIDC has played a pivotal role in the last 35 years. MIDC has developed 268 industrial estates across the state which spread over 52653 hectares of land. The growth of the Corporation, achieved in the various fields, during the last three years, could be gauged from the fact that the area currently in possession of MIDC has doubled from 25,000 hectares in 1995.

Asian Financial Crisis and Transformation of Korean Capitalism

2021 ◽  
pp. 128-146
Author(s):  
Hyeong-ki Kwon
Keyword(s):  
Financial Crisis ◽  
Economic Crisis ◽  
Industrial Policy ◽  
State Intervention ◽  
Asian Financial Crisis ◽  
The State ◽  
Main Culprit ◽  
Knowledge Intensive ◽  
Korean State ◽  
Venture Firms

This chapter examines how the Korean state could continue its state-led developmentalism even when state interventionism was pointed out as a main culprit for the economic crisis of 1997. The 1997 Asian financial crisis prompted serious reflection upon the problems of Korea’s input-oriented developmentalism, as well as the ineffectiveness of state intervention. However, to solve the economic crisis of 1997, Korea did not abandon state-led developmentalism, but developed another version of state-led developmentalism, emphasizing the promotion of strategic hi-tech venture firms and SME parts industries. This chapter first examines the competing diagnoses and solutions to the economic crisis of 1997, and then explores how, through politics between the state and large corporations, the existing volume-oriented expansionism changed toward a knowledge-intensive strategy. Finally, this chapter examines how competition among economic ministries, including the Ministry of Industry (MoI) and the Ministry of Information and Communications (MIC), drove the evolution of Korean industrial policy.

Globalisation on the Margins: Mapping Post-Apartheid South Africa's Trade and Industrial Policy

1998 ◽  
Vol 3 (1-2) ◽  
pp. 167-205
Author(s):  
Firoz Khan ◽  
David Hemson
Keyword(s):  
South African ◽  
Industrial Policy ◽  
Industrial Development ◽  
World Economy ◽  
Negative Impact ◽  
African State ◽  
State Intervention ◽  
Sustainable Growth ◽  
Social Unrest ◽  
Growth State

Industrial policy is a key avenue for the post-apartheid South African state to overcome the threats of social unrest and promote economic development. Although globalisation presents Third World countries with significant opportunities for sustained industrial development, it is critically important to underscore the impulses that undermine it through an examination of the manner in which technology is transferred from the industrialised to the developing countries. The indiscriminate adoption of a neo-liberal economic programme in South Africa has had a negative impact on sustainable growth and has given way to deindustrialisation and a rentier economy. This paper suggests that an endogenous approach — one that emphasises the unique factors of the spatial milieu in which economic activity occurs — paired to a recognition of the embeddedness of this milieu within larger structures is a more suitable paradigm for stirring sustainable growth. State intervention is not an impediment but a precondition for a flexible and responsive industrial policy in an increasingly globalised world economy.

scholarly journals POLICY OF INCLUSIVE AND SUSTAINABLE INDUSTRIALIZATION: THE CHALLENGES AND PRIORITIES OF IMPLEMENTATION

2020 ◽  
pp. 105-117 ◽  
Author(s):  
Yurii Kindzers'kyi
Keyword(s):  
Industrial Policy ◽  
Industrial Development ◽  
Effective Means ◽  
Developmental State ◽  
Developed Countries ◽  
Environmental Safety ◽  
The State ◽  
Industrial Transformation ◽  
Public Property ◽  
Role Of The State

Introduction. Overcoming the phenomena of de-industrialization and structural degradation of the Ukrainian economy should be based on the development and implementation of structural and industrial policies, given the need to achieve the Sustainable Development Goals of the country and the corresponding transition of the economy to the tracks of inclusive and sustainable industrial development. Purpose. To analyze the key challenges facing the Ukrainian industry and propose directions for shaping national policies for inclusive and sustainable industrialization. Results. Key indices of development of the Ukrainian industry in comparison with some industrially developed countries are analyzed. Emphasis is placed on the inconsistency of industrial transformation processes in our country with the world trends and trends of inclusive and sustainable industrial development, defined by the Lima Declaration of UNIDO's, in particular in the context of the dynamics and structure of production and export, technological level, the need to improve labor productivity and income of the population, approximation to social inclusivity and fair distribution of national wealth, the transfer of production to environmental safety rails. The key defects of the state economic policy which led to negative tendencies are outlined. Attention is drawn to the actual refusal of the state from industrial policy, both in the "vertical" and "horizontal" variants of it, the replacement of structural policy by deregulation and orientation to the formal improvement of the country's positions in international ratings with further deterioration of the economic situation. The institutional distortions that led to the unfair distribution of the country's wealth and the emergence of domestic peculiarities of the short-terminism phenomenon in state and corporate decision-making are shown. The model and main directions of the policy of inclusive and sustainable industrialization are offered. It is based on the principle of dualistic combination of means of "vertical" and "horizontal" industrial policy, outlines priority directions of development of domestic industry, based on the possible specialization of the country and the existing threats and challenges. The key role of the state in this process is emphasized and the conclusion is made about the necessity of its transformation into a " developmental state", whose activity will be subordinate to the interest of the whole population of the country, and public property should be considered as an effective means for reviving production and creating the "total causality effect" of inclusive industrialization and achievement social justice.

The Implementation of Best Available Techniques as the Aspect of the Modern Industrial Policy of the Russian Federation

2018 ◽  
Vol 2018 (4) ◽  
pp. 25-34
Author(s):  
Denis Manturov
Keyword(s):  
Industrial Policy ◽  
The State ◽  
Regulation System ◽  
Economic Regulation ◽  
Industrial Growth ◽  
Best Available Techniques ◽  
The Russian Federation ◽  
Negative Environmental Impact ◽  
Sustainable Economic Growth ◽  
State Of The Environment

In Russia, Best Available Techniques (BAT) form the modern instrument of the environmental industrial policy. One should consider BAT from the positions of the environmental and economic regulation. In Russia, harmonization of priority measures of the industrial and the environmental policy aims at the sustainable economic growth, technological renewal and environmental improvement of the industry. In the nearest future, over eight thousand Russian enterprises will turn to the new BAT-based regulation system; they will need to meet new legislative requirements. To achieve this, many companies will need to attract substantial investments; the state will have to work out additional instruments of the financial support for the BAT implementation. The transition to BAT will be organizes of a phased basis; to evaluate results being achieved, it is needed to select indicators characterizing, on one hand, the industrial growth, and on the other hand - the improvement of the production environmental and resource efficiency as well as the gradual reduction of the negative environmental impact. A whole system of indicators is needed because each industrial branch and each region have their specifics caused by the structure of industry and by the state of the environment and natural resources. To analyse the results of the transition to BAT at various levels, experts in Best Available Techniques will be called on; the formation of the society of BAT experts has already begun.

Third World indebted industrialization: international finance and state capitalism in Mexico, Brazil, Algeria, and South Korea

1981 ◽  
Vol 35 (3) ◽  
pp. 407-431 ◽  
Author(s):  
Jeff Frieden
Keyword(s):  
South Korea ◽  
Multinational Corporations ◽  
Financial Institutions ◽  
Industrial Development ◽  
Third World ◽  
Developed Countries ◽  
Bank Loans ◽  
Industrial Growth ◽  
The Third ◽  
Role Of The State

The past fifteen years have seen two important developments in the international economic system: the rapid industrialization of many less developed countries (LDCs) and their increasing indebtedness to private financial institutions. Massive bank loans have been used to fund industrial growth in many LDCs; international financial markets have replaced multinational corporations as the Third World's most important source of private foreign capital. In four major borrowing countries—Mexico, Brazil, Algeria, and South Korea—the process of indebted industrialization has its roots in the internationalization of finance, the increasing role of the state, and the use of funds raised on the international capital markets to finance industrial development. The results include rapid expansions of LDC industrial production and LDC exports of manufactured products, as well as the formation of an implicit partnership between private financial institutions and state-capitalist elites in the Third World.

scholarly journals Institutional Environment as a Determinant of Efficiency of Industrial Development of Ukraine

2020 ◽  
pp. 6-12
Author(s):  
N. Grazhevska ◽  
А. Khodzhaian ◽  
A. Zavazhenko
Keyword(s):  
National Economy ◽  
Capital Investment ◽  
Industrial Development ◽  
Institutional Environment ◽  
Negative Impact ◽  
Raw Materials ◽  
Industrial Sector ◽  
The State ◽  
Added Value ◽  
Industrial Enterprises

The authors proved that contrary to the global trends of development of science-intensive neo-industrial economy in Ukraine there is deindustrialization of the economy associated with outpacing growth of production and export of raw materials with a low level of technological processing and added value. The article examines the main factors of the deindustrialization of Ukraine’s economy, in particular, a significant degree of depreciation of fixed assets of industrial enterprises and production infrastructure, insufficient volume and unsatisfactory structure of capital investment to restore worn-out fixed capital, negative dynamics of foreign direct investment in the spheres of national economy such as innovations, etc. The authors also highlighted and analyzed the institutional factors influencing the industrial development of Ukraine, namely: the “presence” of the state in the economy, corruption and the shadow economy. The negative impact of the institutional environment on the innovative modernization of the national industrial sector was confirmed with the help of economic and mathematical modelling. The main directions of intensification of the state ‘s activity to overcome the institutional dysfunctions and traps formed during the period of market reform of the national economy are substantiated.

scholarly journals Does it really take the state?

2012 ◽  
Vol 14 (3) ◽  
pp. 1-34 ◽  
Author(s):  
Tanja A. Börzel ◽  
Jana Hönke ◽  
Christian R. Thauer
Keyword(s):  
Multinational Corporations ◽  
State Intervention ◽  
The State ◽  
Dark Side ◽  
State Agencies ◽  
Negative Effects ◽  
Role Of The State ◽  
Collective Goods ◽  
Social Conduct ◽  
Corporate Social

This paper explores the role of the state for an effective engagement of multinational corporations (MNCs) in corporate social responsibility (CSR). In the OECD context, the “shadow of hierarchy” cast by the state is considered an important incentive for MNCs to engage in CSR activities that contribute to governance. However, in areas of limited statehood, where state actors are too weak to effectively set and enforce collectively binding rules, profit-driven MNCs confront various dilemmas with respect to costly CSR standards. The lack of a credible regulatory threat by state agencies is therefore often associated with the exploitation of resources and people by MNCs, rather than with business’ social conduct. However, in this paper we argue that there are alternatives to the “shadow of hierarchy” that induce MNCs to adopt and implement CSR policies that contribute to governance in areas of limited statehood. We then discuss that in certain areas such functional equivalents still depend on some state intervention to be effective, in particular when firms are immune to reputational concerns and in complex-task areas that require the involvement of several actors in the provision of collective goods. Finally, we discuss the “dark side” of the state and show that the state can also have negative effects on the CSR engagement of MNCs. We illustrate the different ways in which statehood and the absence thereof affect CSR activities of MNCs in South Africa and conclude with some considerations on the conditions under which statehood exerts these effects.

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