A case for industrial policy towards green economy transition in developing economies
: Africa Insight OUTPUT TYPE
: Journal Article PUBLICATION YEAR
: GREEN ECONOMY
, INDUSTRIAL DEVELOPMENTDEPARTMENT
: African Institute of South Africa (AISA)
: HSRC Library: shelf number 9205
If you would like to obtain a copy of this Research Output, please contact Hanlie Baudin at firstname.lastname@example.org.
The essence of green economy transition is resource efficiency for improved economic, environmental and human well-being. For primary commodity-endowed developing countries, this reflects a call for industrialisation to reduce economic dependence on primary commodities. The now desired 'green' industrialisation makes the industrialisation process a double structural transformation for developing economies. The technological and pecuniary barriers of such a transformation render market allocations unlikely to efficiently and speedily facilitate the process. Through an analysis of discourses in the industrialisation and green economy transition spaces, this paper argues a case for green industrial policy in developing countries. It finds merit for a temporal and scope limited green industrial policy regime as a plausible route to green industrialisation in developing countries. It concludes that industrial policy is most effective when the dominant policy regime limits or prevents rent-seeking practices and only supports interventions that confer systemic competitiveness and efficiency.