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Andreoni, Antonio (2020) 'Technical Change, the Shifting ‘Terrain of the Industrial’, and Digital Industrial Policy.' In: Oqubay Metiku, Arkebe, Cramer, Christopher, Chang, Ha-Joon and Kozul-Wright, Richard, (eds.), The Oxford Handbook of Industrial Policy. Oxford: Oxford University Press, pp. 369-393.

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Technical change is a major driver of structural transformation and industrial mutations within and across sectors of the economy. We show how, by deploying different concepts of sector—commodity/product, production/technology, or location-based taxonomies—we can better capture the heterogeneity of production activities, shifting sectoral boundaries, industrial mutations, sources of technical change, and non-linear patterns of structural change. These are important dimensions for industrial policy targeting. We analyse these technological dynamics with an industrial ecosystem framework structured around several sectoral value chains underpinned by different technology platforms. Within this framework, we highlight the role of digital technologies alongside other key enabling technologies and discuss technological change trajectories and cross-sectoral diversification patterns. Against this background, we discuss the specific challenges of deploying digital technologies effectively faced by developing countries. To address these challenges and capture windows of digital opportunity, industrial policy must be articulated along both sectoral and cross-sectoral mission-oriented strategies.

Item Type: Book Chapters
Keywords: technical change, production, sectors, heterogeneity, industrial mutations, industrial ecosystem, digitalization, developing countries, industrial policy
SOAS Departments & Centres: Departments and Subunits > Department of Economics
ISBN: 9780198862420
DOI (Digital Object Identifier):
Date Deposited: 09 Jan 2023 18:31

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