Quotation Aiginger, Karl. 2014. Industrial Policy for a sustainable growth path. WWW (Welfare, Wealth, Work) for Europe Policy Paper No. 13.




Karl Aiginger  Industrial Policy for a sustainable growth path  Abstract Industrial policy is back on the agenda and the consensus is that it must be different 'this time' from the past. We redefine industri al policy for industrialised countries as a strategy to promote 'high-road competitiveness', understood as the ability of an economy to achieve 'Beyond-GDP' Goals. 'High-road strategies' are based on advanced skills, innovation, supporting institutions, ecological ambition and an activating social policy. This 'new industri al policy' is systemic, working in alignment with other policy strands and supporting soci al and environmental go als; it affects the structure of the economy as the whole not only the manufacturing sector. Short-term actions, such as protecting employment in unviable companies, low prices for fossil fuels, or reducing wages in high-income economies are counterproductive. To pursue an industrial policy that targets society's ultimate goals without public micromanagement will be challenging. It co uld be achieved (i) by setting incentives, particularly those impacting on technical pr ogress (e.g. to make it less labour-saving and more energy-saving), (ii) by the use of the important role governments have in the education and research sectors, (iii) by greater public awareness and (iv) if consumer preferences will call for socio-ecological transition.


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Publication's profile

Status of publication Published
Affiliation WU
Type of publication Working/discussion paper, preprint
Language English
Title Industrial Policy for a sustainable growth path
Title of whole publication WWW (Welfare, Wealth, Work) for Europe Policy Paper No. 13
Year 2014
URL https://www.oecd.org/eco/Industrial-Policy-for-a-sustainable-growth-path.pdf
JEL H50, L16, L50, O20, O32, O38, O40, Q30, Q40, Q50


Aiginger, Karl (Details)
Department of Economics DP (Details)
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