Industrial Policy - Challenges caused by Globalisation

The branch of industry remains a major activity within an economy, ensuring the necessary technical and technological basis for the development of all other activities such as agriculture, constructions, transportation and, more than that, it has the main contribution to the GNP, trade, employment, generating value added and new jobs, as well as increasing competitiveness and economic and social progress for the nation. To successfully fullfill its role, industrial development needs adequate industrial policies capable to coagulate the public and private enterprises energies into an unique innovative effort aimed at a better use of resources as well as an effective industrial structural adjustment able to promote increasing competitivenes at all levels. Though a controversial subject, because of its several failures along the history, industrial policy becomes more and more actual. Many countries - developed, rapidly increasing emergent economies, as well as poorer countries are reconsidering the role of industrial policy. Western scholars reveal the fact that, after decades of denying the need for it, the World Bank itself is now recomending that developping countries should implement industrial policies.