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Title: Shifting patterns in the application of industrial policy

Authors: Greig Mordue

Addresses: Faculty of Engineering, W Booth School of Engineering Practice and Technology, McMaster University, 1280 Main Street West, Hamilton, Ontario, L8S 4L8, Canada

Abstract: The practice of industrial policy in economically advanced jurisdictions is examined, focusing on the post 2000 period. Building from literature and cases from the Canadian automotive industry, the paper demonstrates how actors engaged in the application of industrial policy in economically advanced, high labour cost jurisdictions have responded to shifting pressures and opportunities. Explanation is provided for how those changes have caused objectives to broaden from a focus on manufacturing to industrial R&D. While vertical industrial policy tools endure, the transition has prompted increased emphasis on horizontal industrial policy instruments. The cases also demonstrate that a shift has occurred from externally-generated projects towards internal, organic forms of development, a change that has elevated the primacy of internal, corporate champions in firm level investment attraction.

Keywords: industrial policy; automotive; Canada; research and development; R&D; Toyota; General Motors.

DOI: 10.1504/IJATM.2020.105307

International Journal of Automotive Technology and Management, 2020 Vol.20 No.1, pp.50 - 75

Received: 04 Dec 2018
Accepted: 24 Apr 2019

Published online: 14 Feb 2020 *

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