What are the underlying rationales for industrial policy? Does empirical evidence support the use of industrial policy for correcting market failures that plague the process of industrialization? This article addresses these questions through a critical survey of the analytical literature on...

An explanation is sought for the Asian economic"miracle" that occurred between the 1960s and 1990s. Theories about theeconomic growth can be divided into two groups. Accumulation theories stressthe role of investments in moving the inputs and outputs along their productionfrictions. Assimilation...