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Why and How Does Manufacturing Still Matter: Old Rationales, New Realities

Author

Listed:
  • Antonio Andreoni
  • Mike Gregory

Abstract

?The paper aims to contribute to the renaissance of a manufacturing oriented view of economic system. ? It begins by providing a critical review of the main turning points in the manufacturing versus services debate evaluating the analytical and empirical arguments deployed in favor of each view. It goes on to describe the profound transformations in industrial systems and the redistribution of manufacturing production across countries over the last two decades which challenge some of the assumptions on which the service oriented view is built. This section concludes by reviewing old and new rationales supporting a manufacturing oriented view. The second part of the paper addresses the importance of certain industries, including machine tools to generate industrial capability and why technological linkages stemming from manufacturing industries more generally are key enablers of a country?s systemic capacity to generate technological change. Finally the negative consequences of de-linking manufacturing production from services (off-shoring) are explored highlighting the systematic disruption of the bundle of technological linkages constituting the industrial commons.

Suggested Citation

  • Antonio Andreoni & Mike Gregory, 2013. "Why and How Does Manufacturing Still Matter: Old Rationales, New Realities," Revue d'économie industrielle, De Boeck Université, vol. 0(4), pages 21-57.
    • Handle: RePEc:cai:reidbu:rei_144_0021
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    Citations

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    Cited by:

    1. Andreoni, Antonio, 2014. "Structural learning: Embedding discoveries and the dynamics of production," Structural Change and Economic Dynamics, Elsevier, vol. 29(C), pages 58-74.
    2. Marco Bellandi & Lisa De Propris, 2017. "New forms of industrial districts," Economia e Politica Industriale: Journal of Industrial and Business Economics, Springer;Associazione Amici di Economia e Politica Industriale, vol. 44(4), pages 411-427, December.
    3. Santos, Eleonora & Khan, Shahed, 2019. "FDI Policies and Catching-Up," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 0(7(61)), pages 1821-1853.
    4. Santos, Eleonora, 2017. "Externalities from FDI on domestic firms’ Productivity: A Literature Review for Developed Countries," MPRA Paper 88958, University Library of Munich, Germany.
    5. Antonio Andreoni & Ha-Joon Chang, 2016. "Industrial policy and the future of manufacturing," Economia e Politica Industriale: Journal of Industrial and Business Economics, Springer;Associazione Amici di Economia e Politica Industriale, vol. 43(4), pages 491-502, December.
    6. Murat Arsel & Servaas Storm, 2015. "Forum 2015," Development and Change, International Institute of Social Studies, vol. 46(4), pages 666-699, July.
    7. Santos, Eleonora & Khan, Shahed, 2018. "Public Policies, Innovation and Convergence," EconStor Preprints 183508, ZBW - Leibniz Information Centre for Economics.
    8. Michele Di Maio & Giorgio Fabbri & Vincenzo Lombardo, 2016. "Heterogeneous Entrepreneurs, Government Quality and Optimal Industrial Policy," Working Papers halshs-01340051, HAL.
    9. Sandrine Labory, 2014. "Determining Industrial Policy in Current Conditions of Competition," QA - Rivista dell'Associazione Rossi-Doria, Associazione Rossi Doria, issue 4, December.
    10. Dmitry O. Skobelev, 2020. "Industrial policy of increasing resource efficiency and the achievement of the sustainable development goals," Journal of New Economy, Ural State University of Economics, vol. 21(4), pages 153-173, December.
    11. Andreoni, Antonio & Chang, Ha-Joon, 2019. "The political economy of industrial policy: Structural interdependencies, policy alignment and conflict management," Structural Change and Economic Dynamics, Elsevier, vol. 48(C), pages 136-150.
    12. Paras Kharel, 2020. "Industrialization, input duties and revenue concerns in Nepal," Working Papers wp/20/01, South Asia Watch on Trade, Economics and Environment.

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