Template-Type: ReDIF-Article 1.0

Author-Name: Oliver Kovacs
Author-Workplace-Name: Ludovika University of Public Service
Author-Email: kovacs.oliver.istvan@uni-nke.hu
Author-Person:  

Title: Industrial Policy and Development: Time for Disciplined Action

Abstract: This essay seeks to answer one of the key paradoxes of the fourth industrial
revolution (Industry 4.0) that has been unfolding since 2011: Despite the multitude
of dedicated industrial policy strategies and policy interventions put in place since
then, why have we not seen spectacular success? Using the US and EU industrial
policy landscape, I argue that, although it will take time for the effects of Industry
4.0 to materialise, the strategy of "patience is a virtue" (respice finem) cannot be
sustained indefinitely, i.e. until certain systematic industrial policy paradoxes are
resolved, because only a systemic and primarily resilience-driven industrial policy
can be expected to yield results.

Classification-JEL: O10, O25, O38, L16, L52
Keywords: Industry 4.0, industrial policy, USA, Europe
Pages: 5-30
Volume: 22
Issue: 4
Year: 2023
File-URL: https://en-hitelintezetiszemle.mnb.hu/letoltes/fer-22-4-ove1-kovacs.pdf
File-Format: Application/pdf
Handle: RePEc:mnb:finrev:v:22:y:2023:i:4:p:5-30