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Industrial Policy and DevelopmentThe Political Economy of Capabilities Accumulation$
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Mario Cimoli, Giovanni Dosi, and Joseph E. Stiglitz

Print publication date: 2009

Print ISBN-13: 9780199235261

Published to Oxford Scholarship Online: February 2010

DOI: 10.1093/acprof:oso/9780199235261.001.0001

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Competition Policy and Industrial Development

Competition Policy and Industrial Development

(p.447) 17 Competition Policy and Industrial Development
Industrial Policy and Development

Mario L. Possas

Heloisa Borges

Oxford University Press

Competition policy, especially antitrust, is not usually seen as part of an industrial policy framework. In fact, these are often viewed as conflicting with each other. This chapter discusses the role that should be ascribed, under a broadly defined “evolutionary” framework, to competition policy within or at least related to industrial policies. It argues that above a certain development threshold, competition policies and other industry-fostering policies tend to be complementary rather than in conflict with each other. In this light, the chapter discusses the experience of selected developed economies as well as newly industrialized ones, examining both competition and industrial policies alongside the process of industrial development.

Keywords:   competition policies, antitrust, Schumpeterian tradeoffs, industrial policy framework, evolutionary framework

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