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Pro-industry Policies, Sustainability, and Industrial Growth

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Industrial Policy and Sustainable Growth

Part of the book series: Sustainable Development ((SD))

Abstract

This study examines how pro-industry policies and environmental sustainability relate to industrial growth in countries with varying environmental records using a large panel dataset on 104 developing and developed countries over the period 2002–2012. Employing both the conditional and unconditional quantile regression estimators as well as the fixed effects panel estimator, the study finds that pro-industry policies in the form of improved legal and property rights, favorable trade, and business environments are associated with higher industrial growth and development. In line with the so-called Porter hypothesis, the findings indicate that a high environmental performance is indeed consistent with industrial development. In addition, the results show that pro-industry policies and environmental sustainability are substitutes rather than complements in their effect on industry. The study identifies some important policy measures which policy-makers could undertake to make the two complementary in their effect on industrial growth.

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Author information

Authors and Affiliations

  1. Aberystwyth Business School, Aberystwyth University, Aberystwyth, UK

    Abdilahi Ali

  2. Faculty of Political Sciences, Ankara Yildirim Beyazit University, Ankara, Turkey

    Barış Alpaslan

Authors
  1. Abdilahi Ali
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  2. Barış Alpaslan
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Corresponding author

Correspondence to Abdilahi Ali .

Editor information

Editors and Affiliations

  1. Center for Industrial Policy and Development, Istanbul Commerce University, Istanbul, Turkey

    Murat A. Yülek

Appendix

Appendix

Table A1 List of countries
Full size table
Table A2 Sources, definition, and summary statistics of variables
Full size table

See Tables A1 and A2.

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Ali, A., Alpaslan, B. (2018). Pro-industry Policies, Sustainability, and Industrial Growth. In: Yülek, M. (eds) Industrial Policy and Sustainable Growth. Sustainable Development . Springer, Singapore. https://doi.org/10.1007/978-981-10-5741-0_8

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