Introduction

This introduction presents an overview of the key concepts discussed in the subsequent chapters of this book. The book analyses the development of world production and trade in manufactures. It shows the pace of structural change, the emergence of Japan and then of the newly industrializing countries, and the changes that have had to be accommodated in the pattern of international trade. The book examines the development of five industrial sectors and policy responses of major governments and international organizations. It also shows the intensity of interaction among international market forces, national policies, and international attempts to regulate them. The book focuses on industrial policies in the four major economies of the advanced industrial part of the world. It talks about the implications of industrial policies for the relations between these countries and in the wider international economy.