Underdevelopment and Economic Theory of Growth: Case for Infant Industry Promotion

Consilience: The Journal of Sustainable Development Vol. 8, Iss. 1 (2012), Pp. 171 - 187

17 Pages Posted: 11 Apr 2017

Date Written: May 10, 2012

Abstract

The article reviews literature on economic development, critiques neoliberal economic theories, and advances the theory of infant industry promotion as an alternative model for development in Africa. The essay argues that for developing countries to catch up to developed countries requires contextualizing development theory, applying selective economic policies to industries where productive capacities can be developed, localizing the policies lessons so as to prioritize local industries and thus develop their productive abilities. The role of state in development and implementation of protective measures such as tariffs, import bans on key raw materials, rebates on industrial inputs, is discussed. To escape the Resource Curse, African states will have to develop an alternative source of employment, an industrial base, and strengthen the productive powers of infant industries if those industries are to survive fierce international competition. To be durable in the African context, economic policy must reflect local conditions, vary from one historical context to the next, use readily available resources and adequately respond to local problems.

Keywords: Triple Curse, Infant Industry Promotion, Economic theory of growth, African development, Underdevelopment, Diminishing Returns, Increasing Returns

Suggested Citation

Zambakari, Christopher, Underdevelopment and Economic Theory of Growth: Case for Infant Industry Promotion (May 10, 2012). Consilience: The Journal of Sustainable Development Vol. 8, Iss. 1 (2012), Pp. 171 - 187. Available at SSRN: https://ssrn.com/abstract=2950791

Christopher Zambakari (Contact Author)

The Zambakari Advisory, LLC ( email )

P.O. Box 18691
Phoenix, AZ ARIZONA (AZ) 85005
United States
6026709326 (Phone)

HOME PAGE: http://www.zambakari.org/

Register to save articles to
your library

Register

Paper statistics

Downloads
368
rank
79,793
Abstract Views
99
PlumX Metrics
!

Under construction: SSRN citations will be offline until July when we will launch a brand new and improved citations service, check here for more details.

For more information