Modern industrial policy in Latin America: Lessons from cluster development policies
Industrial clusters have developed in many regions and countries of
Latin America. Active public policies have often supported them at the
national (federal) and local levels, sometimes with the financial and
technical assistance of international organizations. These experiences
have been most remarkable, and share several elements of the 'modern'
industrial policies that enjoy an increasing consensus in the
literature. The vast experience of locally based forms of active
policies that have proliferated in Latin America reflects a modern
approach to industrial policies, and an example for other developing
countries. Such approach has typically included clever interactions of
private and government sectors, a process of search and discovery of the
necessary public policy inputs, and an interactive design and
implementation of these policies.
JEL Classification: O25, O43, L14
Keywords: Industrial policy, innovation policy, innovation and learning, clusters