Indonesian Industrialization

This paper examines Indonesia.s industrialization performance and policies, including its latecomer status, its generally rapid growth since the mid-1960s, its pronounced policy and performance episodes, and its ambivalent embrace of globalization. Particular attention is accorded to the deep economic-political crisis of 1997.98 and its aftermath, with the benefit of a rich, firm level database. The crisis resulted in slower industrial growth, less industrial mobility, and sluggish formal sector employment growth. We also consider some of the general analytical and policy implications for developing country industrialization from the Indonesian experience.Indonesia, industrialization, economic crises, jobless growth

Polluting Industrialization

Recently, many contributions have focused on the relationship between capital accumulation, growth and population dynamics, introducing fertility choice in macro-dynamic models. In this paper, we go one step further highlighting also the link with pollution. We develop a simple overlapping generations model with paternalistic altruism according to wealth and environmental concerns. One can therefore explain a simultaneous increase of capital intensity, population growth and pollution, namely a polluting industrialization. We show in addition that a permanent productivity shock, possibly associated to technological innovations, promotes such a polluting development process, escaping a trap where the economy is relegated to a low capital intensity, population growth and pollution.Growth; Population dynamics; Pollution; Altruism; Development

University as an Institute of Forming the Value- and Competence-Based Codes of New Industrialization

The objective of the article is to consider a transition to neo-industrialization through a prism of codes (genetic) of the territory, allow-ing it to participate in neo-industrialization processes, and of the institutes stimulating its process, in specific conditions of managing practice. And to define a role of universities in formation of value- and competence-based codes of neo-industrialization. The plan and methodology included: analysis of relation of values and modernization; revealing of the values being characteristic for post-industrialization; revealing of neo-industrialization codes of territory and the actors forming these codes; at last, for empirical determination of neo-industrialization codes which universities create, – the poll of students of Ural state universities. So, to reveal the main codes of neo-industrialization its features were ana-lyzed being marked out by various researchers. The analysis showed that in the basis of neo-industrial development are the technical innovations rais-ing the labor productivity; the professional specialization caused by the level of education of population; and also new forms of interaction, both among the organizations and among people in a production process, creat-ing the new and updating the existing information flows and sources of their generation. Basic codes of neo-industrialization of a territory are: in-novative codes of territory (innovative solutions); production codes (pro-duction capacities); branch codes (branch specifics); information codes (in-formation and the information technologies); social-value codes (values of the population in terms of industrial transformations); social-competence codes (knowledge, ability and skills of population as of effective produc-tive force); institutional codes of territory (legislative provision of transi-tion to new type of industrialization). Respectively, the basic actors form-ing the codes of neo-industrialization are the enterprises of real sector (car-rier of production and industrial codes), society (carrier of social codes), authorities (carrier of institutional codes). Universities act as a transformer of information, innovative and value- and competence-based codes. For defining the neo-industrialization codes, what universities form, the poll of students of Ural state universities was carried out. It showed, that, to the majority of respondents, education is not only the process of knowledge transmission promoting to find job, but also the process of studying to live in the conditions being continually changed, of forming the platform for further self-development. The most of respondents are inclined to associate universities with the in-stitute of forming the competence-based codes of neo-industrialization, but also with research and international cooperation functions. As the poll showed, in Ural universities among scientific-educational measures at least represented are the meetings with business representatives – it’s a lack of interaction with enterprises, what could increase relevance and importance of the knowledge being transmitted. In the part of mutual influence of values and modernization processes, the poll showed that by new generation prevail secular-rational values what replaced the traditional values, forging the population in its behavior and needs as well as causing the resistance to innovative transformations. By new generation prevail the values of self-expression. That’s why it can be said that young generation positively percepts indus-trial transformations, being an active cell of postindustrial society. The fact that the values of self-expression prevail, testifies an active position of students and readiness to participate in changing their life. The answers of respondents received testify that one more institute of forming the social-value codes of neo-industrialization is a family, what confirms a theory of cultural transmission. In the part of the nearest planes of students after university graduation, the poll showed that new generation possesses the positive potential of in-novative transformations and neo-industrialization on the whole. The most popular answers were “to get a job on an existing enterprise”, “to study further (magistracy / postgraduate study)”, “to create family”, “to create own business”. The results of research allow to conclude, that universities set and solve, by permanently improving themselves in ways, mechanisms and instru-ments, the double task: on the one hand, form the social competence-based codes of new industrialization furthering the forming the high-qualified work force; in the other hand, form the social value-based codes of new industrialization, such as leader qualities, patriotic qualities, re-sponsibility, general culture, what will create a neo-industrial perception of world and allow to exist in it successfully

THE TRANSITION PROCESS IN CHINA: AN ECONOMIC DEVELOPMENT PERSPECTIVE

During the last 25 years, the Chinese economy has experienced significant changes: the centrally planned economy has been reformed gradually into a market economy; the traditional agricultural economy is becoming more and more a modern industrial economy. In a dynamic two-sector-two-segment model we demonstrate that the economic reform has changed the industrialization mechanism in China. It released a decentralized industrialization process beside the centrally planned Soviet-type industrialization. This decentralized industrialization is shown to be the ultimate driving force of the transition from plan to market in China.Transition, Economic Reform, Industrialization, the Chinese Economy

De-industrialization not decline: a new meta-narrative for post-war British history

Much of the economic and other historiography of post-war Britain is shaped by the perceived failure of Britain to consistently match the growth rates of GDP experienced in other rich countries. These declinist narratives are commonly coupled to tendentious and ideologically driven analyses of economic, social and political developments. This article seeks to displace this declinist narrative by one focussing upon de-industrialization and its consequences. The argument is that de-industrialization, beginning in the 1950s, brought about such a range of profound changes, that it provides the best underpinning narrative for understanding late twentieth-century Britain. After suggesting why ‘growth’ and ‘decline’ are not the best terms for understanding this period, the article sets out the case for seeing the employment changes brought about by de-industrialization as crucial to many changes in economic welfare. De-industrialization not only increased wage inequalities and job insecurity, but also re-shaped the social security system and the pattern of public employment. In addition, de-industrialization has seriously compromised the aim of neo-liberalism to free the labour market from the influence of government

The Hong Kong model of industrialization

Hong Kong is an interesting case study of economic development for two reasons: (1) the Colony is one of the few successful cases of industrialization and economic development among contemporary less developed countries; and (2) it closely resembles and is in fact a last remnant of the laissez-faire economy. This paper describes the pattern of industrialization in Hong Kong and its economic rationale in terms of the theory of international comparative advantage. The special features of industrialization in the Colony, taken together, constitute what is called the "Hong Kong Model of Industrialization." The "model" is found to be a pure case of industrialization through exploitation of comparative advantage. --

Inequality and Industrialization

Why do some countries industrialize later than others? Recent literature suggests that the prime reason is low agricultural productivity. This paper argues that the initial inequality of human capital could also be a contributing factor to the delayed process of industrialization characterizing some countries. We develop a neo-classical growth model which predicts that countries with a greater initial knowledge gap between rich and poor agents industrialize slowly, and that human capital inequality, although declining, tends to be persistent. Our cross-country data lend support to these predictions.

Rethinking Import-substituting Industrialization: Development Strategies and Institutions in Taiwan and China

import-substituting industrialization, export-oriented industrialization, development strategies, institutions

Machines as Engines of Growth

This paper builds a model of growth through industrialization, where machines replace workers in a growing number of tasks. This enables the economy to experience long-run growth, as machines become servants of humans, and as their number grows unboundedly. The mechanism that drives growth is feedback between industrialization and wages. High wages provide incentives to use machines, while industrialization raises wages. The model shows that industrialization and growth take off only if the economy is productive enough. It also shows that monopoly power can stifle growth, as it lowers wages. Hence, a one-time increase in productivity, or a reduction of monopoly power can push economies from stagnation to industrialization.Economic Growth, Industrialization, Technology