Affordable Access

Rapid Growth with Limited Learning: Industrial Policy and Indonesia's Pulp and Paper Industry

Authors
Disciplines
  • Economics

Abstract

This paper contributes to the debate on the role of technical change and industrial policy in Indonesian economic growth using the pulp and paper industry as a case study. The analysis indicates that industry and trade policies had a positive influence on growth and capital accumulation, but gave Indonesian pulp and paper companies few incentives to create or deepen their technological capabilities, resulting in fragmented and limited technology assimilation. The findings also raise questions about common interpretations of total factor productivity growth in Indonesia in terms of inspiration versus perspiration.

There are no comments yet on this publication. Be the first to share your thoughts.