Demand-driven policy interventions to foster industrial development: Can they be inclusive and sustainable?

Author(s): Fernando Santiago & Miriam Weiss
Working Paper No.: 2018-06
Keywords: Demand-driven policy, industrialization, developing countries, innovation

This paper explores recent demand-driven policy initiatives implemented to foster industrial development in developing countries. The evidence builds on various case studies organized around an analytical framework that draws from the literature on demand-driven innovation policy, sustainable consumption policies and industrial policy. The findings indicate that demand-driven interventions are usually implemented as part of broader policy mixes including supplydriven measures; demand-driven interventions help shape market dynamics and consumer behaviours. We identify the various goals governments in developing countries pursue through demand-driven industrial policy beyond competitiveness and employment creation, to include inclusiveness- and sustainability-related targets. The nature and scope of demand-driven policies in support of sustainable and inclusive industrial development is larger than we traditionally think; governments can be consumers of manufacturing, but they can also act as regulators, information providers or actual partners in innovation.

CONTACT US

If you have any questions about the Globelics Working Paper Series, you can contact editorial assistant Nina Kotschenreuther via this form or the email address provided below.

Sending

Log in with your credentials

Forgot your details?