Industrial Policies in Latin America

Abstract

This chapter analyses the main features of industrial policies carried out in Latin America since 1990. It studies these policies during import substitution industrialization and how they changed after the market-oriented economic reforms. It presents the main national strategies, policy lines and instruments designed in the region, as well as the return of sectoral policies to the public agenda. Special attention is paid to Brazilian industrial policies because they represent the most advanced experience in the region. The paper underscores that progress in policy design has out paced improvements in policy implementation and evaluation, and discusses the importance of sector targeting, endogenous capabilities, institutions, and political will for industrial policy.

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