Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/247792 
Year of Publication: 
2021
Series/Report no.: 
Discussion Paper No. 32/2021
Publisher: 
Deutsches Institut für Entwicklungspolitik (DIE), Bonn
Abstract: 
This study explores to what extent the COVID-19 crisis has been a turning point in the industrialisation process and the overall progress of countries towards sustainable development and what this implies for future inclusive and sustainable industrial development policies. The focus of the study is on latecomer economies.In the first part of this study, we show how the prospects for industrialisation are changing. The reasons are manifold, yet the following global megatrends have particularly strong effects: i) digitalisation and automation of production; ii) global economic power shifts, with enormous ramifications for trade flows and global value chains; and iii ) the greening of economies. These trends are interrelated in multiple ways and, in conjunction, shape the direction of structural change. They open up new avenues for inclusive and sustainable latecomer industrialisation - including digital technologies that reduce transaction costs for countries on the periphery that are willing to benefit from trade; the shift of labour-intensive investments from China to other latecomer economies; or the increasing demand for renewable energy and green hydrogen for which many latecomer countries offer excellent conditions. At the same time, digitalisation and increasing environmental standards raise entry barriers to markets, especially for country with weak innovation systems; likewise, automation tends to undermine latecomer countries' traditional advantages in labour-intensive industries. [...]
Persistent Identifier of the first edition: 
ISBN: 
978-3-96021-175-4
Creative Commons License: 
cc-by Logo
Document Type: 
Working Paper

Files in This Item:
File
Size





Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.