Abstract
This paper explores the ideas of development and the role of the state in economic development and institutional change from the New Structural Economics perspective. We argue that economic structures – including the structure of technology and industry, and hard and soft infrastructure – are endogenous to the endowment structure, which is given at any specific time and changeable over time. We advocate a state to facilitate structural change by using industrial policy to overcome market failures in order to help industries with latent comparative advantages to become competitive in the market and the state should pragmatically prioritize the use of its limited resources and implementation capability to create enclaves with favourable infrastructure and institution to jump start a dynamic growth in a country beset with poor infrastructure and institution.
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Articles in the same Issue
- Original papers
- The Facilitating State and Economic Development: The Role of the State in New Structural Economics
- Market Maker: The Role of China Development Bank in Incubating Market
- Chinese Universities and the Market for Ideas
- Labor and Democracy: The Homo Faber and The Self-Governing Citizen in Ancient Greece
- Short Notes
- The Legacy of Ronald Coase
- A Coasean View of Stateless Commerce
- The Coase Theorem and Core Theory
- Book Reviews
- Bourgeois Equality: How Ideas, Not Capital or Institutions, Enriched the World
- Review of Economic Success of Chinese Merchants in Southeast Asia: Identity, Ethnic Cooperation and Conflict. Integrating the Social Science with Evolutionary Biology
- Wisdom of the Past
- Dudley North on Free Trade
Articles in the same Issue
- Original papers
- The Facilitating State and Economic Development: The Role of the State in New Structural Economics
- Market Maker: The Role of China Development Bank in Incubating Market
- Chinese Universities and the Market for Ideas
- Labor and Democracy: The Homo Faber and The Self-Governing Citizen in Ancient Greece
- Short Notes
- The Legacy of Ronald Coase
- A Coasean View of Stateless Commerce
- The Coase Theorem and Core Theory
- Book Reviews
- Bourgeois Equality: How Ideas, Not Capital or Institutions, Enriched the World
- Review of Economic Success of Chinese Merchants in Southeast Asia: Identity, Ethnic Cooperation and Conflict. Integrating the Social Science with Evolutionary Biology
- Wisdom of the Past
- Dudley North on Free Trade