'... a most stimulating essay, by an economist who is a leading authority in his field ... a most welcome addition to the literature on economic development.' Terence J.Byres, British Book News '... a perceptive and challenging contribution to the economics of technology transfer and industrialization.' Michael Hobday, The Economic Journal.

This collection of papers by some of the world's leading development economists is remarkable for its wide scope. It covers such varied topics as stagflation in the third world; the extension of free trade to include international investment; the early 1980s in Latin America; the economic growth of Africa and communal land tenure systems and their role in rural development. As well as representing important contributions in themselves, the papers acquire unity from a similarity in approach - always giving priority to reality if it comes into conflict with theoretical bias.

This is a collection of papers on industrial policy - the role of governments in promoting industrial development - and the particular significance of technology development. Two essays deal with the general debate on industrial policy and the nature of technology development; two are critical appraisals of the World Bank's approach to the debate on governments and markets; four are case studies of policy making on aspects of industrialisation, three in Asia and one in Africa.

East Asia is the most competitive and dynamic industrial region in the developing world. This is universally acknowledged but not yet fully understood. In particular, the different strategies the 'Tiger' economies used to access and absorb foreign technologies, and the interaction of technology imports with domestic technological effort, have not been sufficiently explored. This book addresses this imbalance with new country studies on the interaction between foreign direct investment (FDI) and technological activity in building export competitiveness. The book covers China, Indonesia, Japan, Korea, Malaysia, Philippines, Singapore, Taiwan and Thailand, highlighting different strategic approaches to building capabilities in industrial enterprises. The book also includes a general overview and studies of Japanese multinationals overseas. Those interested in the critical role that technologies can play in promoting economic growth and competitiveness will find this study of great interest, especially academics and those in governments and agencies engaged in economic development policy.

The Economics of Technology Transfer presents a selection of the most important articles in the field, many of which are not easily accessible. The volume pays particular attention to issues facing developing countries in the context of rapid technical change, globalisation of production and the international spread of innovation itself. Part I focuses on theory and concepts. Part II, which examines multinationals, deals with the main engines of technology development and transfer. Part III discusses developing countries, pointing to the possible conflict between internalised technology transfer (via multinational enterprises) and the needs of domestic technological capability building. The final two parts include papers on technology transfer processes and issues in selected countries of Latin America, East Asia, the transition economies and the mature industrial economies. The Economics of Technology Transfer will be essential reading for students, researchers and policy makers concerned with international technology transfer.

It is nowadays well accepted that both economic growth and development are highly dependent on improving not just the availability of capital, but also access to technological capabilities, infrastructure and resources. This has gone hand-in-hand with an increasing economic liberalization of most developing countries. The role of the MNE as a viable source of both capital and technology is one of the key features of this new openness. In the process of embracing FDI as a solution to the myriad of economic ills - something even the World Bank has begun to do - little attempt is made to understand the rationale and the costs associated with this policy stance. Simply put, FDI is not a condition sine qua non for development. Too much emphasis has been placed on attracting FDI, and not on understanding how to optimise the benefits for the host economy. This volume aims to encourage and promote research related to these issues.
This volume was previously published as a special issue of the European Journal of Development Research.

It is well accepted now that economic growth and development are highly dependent on improving not just the availability of capital, but also the technological capabilities, infrastructure and resources available to (and internalized by) firms, individuals and institutions in any country.
Over the last two decades or so, there has been a significant shift away from a inward-looking, import-substituting approach towards a more outward-looking, export-oriented policy orientation. The reasons for this shift are complex, but have to do with developments associated with globalization, trade and debt deficits faced by IS-driven economies, as well as the acknowledged success of the Asian newly industrialized economies (NIEs) in technological and economic 'leapfrogging' within an outward-oriented approach. One of the key features of policy liberalization is the need to attract foreign direct investment (FDI) as a means to acquire or improve technological capabilities through multinational enterprise (MNE) activity.
The role of the MNE as an additional source of capital and technology is one of the key features of this new openness, as alternative sources of capital have become scarcer, exacerbated by economic and financial crises. The failure of protected industries in LDCs to become competitive on global markets has highlighted the limitations of the arms-length technology transfer approach. At the same time, the need to build strong local capabilities has not diminished; on the contrary, it has risen as increasingly mobile factors seek strong complementary factors in sites where they will locate.
Hence, in recent years, both LDC governments and foreign donors have increasinglycome to focus on the role MNEs and FDI can play in development. This has been accompanied by a lifting of many types of regulations that previously limited the role of FDI and MNEs in many developing countries, and a reassessment among donors of the role of public versus private actors in development aid.
However, although liberalization has affected the demand for FDI, it has not necessarily always resulted in an increase of FDI inflows. On the other hand, MNEs have an increasingly wide selection of locations available to them, and relatively speaking, the supply of FDI has not increased proportionally with demand. Furthermore, declining trade barriers and restrictions on trade allow MNEs to supply markets without engaging in local production. A large share of FDI continues to be directed to a relatively small group of countries.
In the process of embracing FDI as a solution to the myriad of economic ills there is a lack of understanding of the need to develop the necessary domestic capacity to attract, and absorb the spillovers and externalities that derive from, FDI. The importance of foreign investment is now taken as given and little attempt is made to understand the rationale and the costs associated with this policy stance. Simply put, FDI is not a condition sine qua non for development. Too much emphasis has been placed on attracting FDI, and not on understanding how to optimize the benefits for the host economy. This volume aims to encourage and promote research related to these issues.
This volume was previously published as a special issue of the European Journal of Development Research.

Despite years of liberalization, African manufacturing is conspicuously unable to compete in the global market. Its exports are minuscule, its response to competition is weak, technical efficiency is low and there are few signs of technological dynamism. Part of the problem, the authors argue, lies in the institutions designed to help firms import, use and improve technology. This unique study draws on extensive fieldwork assessing technology systems in Ghana, Kenya, Tanzania, Uganda and Zimbabwe in the context of their export competitiveness. Its emphasis is on the role of technology systems in building industrial competitiveness and in this it finds deficiencies in the systems in all these countries, though there are also significant differences between them. Comparisons are made with more successful economies, particularly those of East Asia, and policy implications are drawn for the strengthening of technology support systems. Central to the book is its combination of academic analysis with a strong policy focus - policy implications are drawn for each case-study country. Failing to Compete will be of interest to all academics and scholars of development economics, international competitiveness and technology studies.

Competitiveness becomes a growing concern for developing countries as they liberalise their economies and open up to global trade, investment and technology flows. They fear that liberalisation by itself may not, in the presence of market and institutional deficiencies, lead to the optimal allocation of resources. In particular, it may lead to the realisation of static rather than dynamic comparative advantages - a threat to sustained growth in a world of rapid technical change. This book draws together recent contributions by Sanjaya Lall - a leading authority on international investment, technology and industrial policy - on competitiveness and its major determinants. It draws upon his wide experience of competitiveness analysis in Asian and African countries and his recent work on technology and skills. It contains his most important published material as well as previously unpublished articles, and will be of interest to students, researchers and policy analysts interested in industrial development, technology and human resources.

This is a collection of papers on industrial policy - the role of governments in promoting industrial development - and the particular significance of technology development. Two essays deal with the general debate on industrial policy and the nature of technology development; two are critical appraisals of the World Bank's approach to the debate on governments and markets; four are case studies of policy making on aspects of industrialisation, three in Asia and one in Africa.

The World Bank and the IMF dominate policy-making in Africa today. This book considers the consistency between their adjustment policies and long-term development needs, with detailed analyses of country experience. An alternative development strategy is proposed. Important elements include rural development, industrialization based on regional import substitution and export promotion, and development of human capabilities.;Current adjustment policies are in large part moving African economies away from long-term goals, especially through cuts in expenditure on education, infrastructure, deindustrialization and the strong emphasis on primary commodity exports.

The World Bank and the IMF dominate policy-making in Africa today. This book considers the consistency between their adjustment policies and long-run development needs, with an analysis of country experience. An alternative development strategy is proposed.