The growth of gross domestic product directly depends on the development of industry, which is influenced by industrial policy. Industrial policy is far more than government intervention in industry or payment of subsidies. Rather it concerns the macroeconomic environment surrounding industry, business and trade. Comparative advantages of industrial companies are not only given by recourse endowment, but are also shaped over time by the actions of both industrial companies and government. Industrial policy of a government may affect comparative advantage over time by influencing the quality and quantity of labor, capital, technology and innovations. The competitive ability of enterprises is facilitated by industrial policy implemented in the country, stimulating the progress of science and technique and innovations, sustaining the investments into the scientific research and design of new products, renovations of technologies and development of human capital. The article reveals the study of economic validity of industrial policy, the cases for and against industrial policy, analyses purposes and contradictions of industrial policy in the context of economic integration
