Importvervangende nijverheden als instrument van regionaal-economische politiek: onderzoek en selectiecriteria
Abstract
Import substituting industries as an instrument of regional economic policy. Investigation and criteria for selection - Notwithstanding the regional economic policy of the last decades, there are still differences in welfare between areas. The reasons are to be found in the defect of private initiative, the rather passive attitude of government agencies, and a partial inefficiency of governmental aid. Leaving aside further criticism, it is true, however, that some special development acts have stimulated economic activity in the depressed regions. But their effects are nevertheless rather purely quantitative than qualitative. Differences in the qualities of economic structure also cause disparities in the total social and economic welfare. These can only be corrected by a higher degree of selectivity in the special development policy. The Belgian industrial system leaves enough room for the launching of import substituting industries. The foundation of such activities in less developed areas could stimulate economic growth. The advantages result from the expansion of industrialisation and from the increase of regional exports. An important part of industry is potentially mobile. These can be attracted to be depressed areas by all kinds of benefits. But to have the utmost effect these new enterprises have to be able to correct structural disadvantages and to conform to a set of criteria. The entry to the market may not be blocked by product differentiation or other barriers, and the minimum optimal size of the firm must be attainable without causing any market disturbance. The size must be optimal so that the new enterprise is capable of developing an autonomous growth sustained by an increase in the demand for the product. Owing to its nature, these import substituting industries will contribute to diversification of the economic structure of the region and to the elimination of regional structural disadvantages. But to attain the utmost effects industries producing goods with a high income elasticity of demand and very weak or moderate fluctuations should be sought. The selection should also take into account the different characteristics of the labour market of the area. The aims of the regional economic policy must not be exclusively the achievement of quantitative equilibrium between the demand and offer of the available labour forces. The governmental agencies also have to aspire to a qualitative improvement of employment. Such action will eliminate regional differences in welfare. Selection of import substituting industries will contribute to the realisation of a better regional distribution of wealth.
How to Cite:
Taeymans, P., (1972) “Importvervangende nijverheden als instrument van regionaal-economische politiek: onderzoek en selectiecriteria”, Tijdschrift voor Sociale Wetenschappen 17(4), 436–456. doi: https://doi.org/10.21825/tvsw.95927
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