The Oxford Handbook of Industrial Hubs and Economic Development

1215 Pages·2020·13.091 MB·English

by  Arkebe Oqubay (Editor), Justin Yifu Lin (Editor)

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The Oxford Handbook of
I N DU S T R I A L
H U B S A N D
E C O N O M IC
DE V E L OPM E N T
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the oxford handbook of
INDUSTRIAL
HUBS AND
ECONOMIC
DEVELOPMENT
Edited by
ARKEBE OQUBAY
and
JUSTIN YIFU LIN
1
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1
Great Clarendon Street, Oxford, ox2 6dp,
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Acknowledgements
Working on this exciting yet challenging scholarly project has involved eighty-two authors.
We have enjoyed the full support of contributors who put significant time and effort into
this volume. The Handbook has benefited from constructive comments provided by in tern al
and anonymous external reviewers. In particular, the editors are very grateful to all the
contributors to this Handbook and thank them sincerely for their exceptional efforts and
their personal commitment to ensuring the success of this volume.
Special thanks are due to our commissioning editor, Adam Swallow, and his team at
Oxford University Press, as well as to the entire production team for their advice, support,
and encouragement. We also wish to thank the anonymous reviewers and delegates of OUP
who approved our book proposal. We are grateful to Professor Mohamed Salih, Erasmus
University, Netherlands and all the peer reviewers, who provided invaluable guidance on
the structure and content of the book. This gratitude is also extended to all the participants
at both the inception and chapter review workshops held in Addis Ababa in December 2018
and April 2019 for their insightful presentations, discussions, feedback, and collaboration.
Our sincere appreciation goes to the Bill and Melinda Gates Foundation for the grant
received for this project and to Mr. Haddis Tadesse and his team for their continued per-
sonal support. We also thank Mr. Tewolde Gebremariam, Group CEO Ethiopian Airlines,
and his team, and Skylight Hotel, for their support. We also wish to thank IFC Ethiopia
Office, especially Mr Adamou Labara, for supporting this project’s inception workshop; and
Professor Tan Kong Yam (Nanyang Technological University, Singapore) and Mr. Tan Wooi
Leong (Jurong Pte Ltd, Singapore) for their support in the cover design.
Special thanks are due to Keith Povey Editorial Services Ltd for the pre-publication copy-
editing of the volume. And finally, our appreciation and gratitude goes to our project and
research coordinator, Deborah M. Kefale, and the team of Helena Alemu, Tsion Kifle,
Meron Tilahun, Samuel Arkebe Oqubay, and Binyam Arkebe Oqubay for their dedicated
support in the preparation of the manuscript and assistance throughout the project.
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Contents
List of Figures and Maps xiii
List of Tables xix
List of Contributors xxiii
PART I CONCEPTS AND METHODOLOGIES
1. Industrial Hubs and Economic Development: An Introduction 3
Arkebe Oqubay and Justin Yifu Lin
2. Industrial Hubs and Economic Development: A Literature Review 15
Arkebe Oqubay
3. Heterodox Approaches to Industrial Policy and the Implications
for Industrial Hubs 40
Christopher Cramer and Fiona Tregenna
4. The Economics of Innovation behind Cluster Dynamic Processes 64
Michael H. Best
5. Local Ecosystems and Social Conditions of Innovative Enterprise 77
Antonio Andreoni and William Lazonick
6. Industrial Policy, Institutional Transformation, and the
Development of Industrial Parks 98
Howard Stein
7. Industrial Hubs: The Viewpoints of Economic Geography
and Empirical Economics 114
Hisaki Kono
8. Industrial Hubs, Urban Systems, and Economic Development 130
Edlam Abera Yemeru
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viii Contents
PART II HISTORICAL CONTEXT
AND ANALYTICAL THEMES
9. Industrialization, Hubs, and Catch-up: The World Economy
in Historical Perspective 147
Deepak Nayyar
10. Industrial Districts in Europe: Lessons for Industrial Hubs
and Industrialization 162
Gioacchino Garofoli
11. The Political Economy of Special Economic Zones: Pasts,
Presents, Futures 190
Patrick Neveling
12. Cluster Dynamics and Regional Networks: New Argonauts,
Silicon Valley, and Route 128 206
AnnaLee Saxenian
13. Agglomeration of European Industries 227
Michael A. Landesmann and Joris M. Schröder
14. The Global Experience in Special Economic Zones:
A History and Review 243
Thomas Farole
15. Leapfrogging through Smart Manufacturing: The Role
of Hubs in Industry 4.0 262
Padmashree Gehl Sampath
16. The Servitization of Industrial Hubs in the Digital Era 281
Shahid Yusuf
17. An Urban Planning Perspective on Industrial Hubs and
Economic Development 301
Fantu Cheru and Aklilu Fikresilassie
18. Special Economic Zones and Export-led Growth:
An Industrial Policy Imperative 323
Ludovico Alcorta and Taffere Tesfachew
19. A Flowchart Approach to Industrial Hubs 345
Akifumi Kuchiki
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Contents ix
PART III INDUSTRIAL HUBS, LABOUR,
GENDER, AND THE ENVIRONMENT
20. Industrial Hubs and the Industrial Labour Force
in Africa and Asia 381
Carlos Oya and Florian Schaefer
21. Gender, Industrialization, and Industrial Hubs 401
Fiona Tregenna and Özge İzdeş
22. Women, Working Conditions, and Industrial Hubs 425
Arianna Rossi
23. Special Economic Zones in Latecomer Countries: Time to
Bring Environmental Sustainability to the Fore 438
Giovanni Valensisi
24. The Greening of Industrial Hubs: A Twenty-first-century
Development Strategy 454
John A. Mathews
25. Greening Structural Transformation: What Role
for Industrial Hubs? 471
Tilman Altenburg and Kasper Vrolijk
26. Towards a New Generation of Special Economic Zones:
Sustainable and Competitive 491
James X. Zhan, Bruno Casella, and Richard Bolwijn
PART IV POLICY AND PRACTICE:
EMPIRICAL EVIDENCE FROM ASIA
27. Industrial Hubs as Development Incubators: Asian Pioneers 523
Arkebe Oqubay
28. Explaining Reform and Special Economic Zones in China 559
Justin Yifu Lin, Jiajun Xu, and Junjie Xia
29. Industrial Hubs in ‘Sphinx’ China 574
Zonglai Kou and Jun Zhang
30. Innovative Firms and High-tech Industrial Hubs in China 592
Yin Li
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x Contents
31. Special Economic Zones in China and India:
A Comparative Analysis 607
Yu Zheng and Aradhna Aggarwal
32. Taiwan’s Industrial Districts and Economic Development 623
Douglas B. Fuller
33. Location Choice for Industrial Complexes in South Korea 635
Jung Won Sonn and Sang Hee Kim
34. A Review of Industrial Clusters, Industrial Policy, and
Industrialization in South Korea 650
Sanghoon Kim and Hah-Zoong Song
35. An Evidence-based Analysis of Industrial Hubs:
The Singapore Narrative 673
George Yeo, Tan Khee Giap, Tan Kong Yam, and Wilfred Loo
36. Industrialization and Industrial Hubs in Malaysia 701
Rajah Rasiah and Gopi Krishnan
37. Industrial Policy and the Evolution of Industrial Hubs in Vietnam 723
Vu-Thanh Tu-Anh and Do-Thien Anh-Tuan
PART V POLICY AND PRACTICE: EMPIRICAL
EVIDENCE FROM LATIN AMERICA
38. Industrialization in Latin America: A Critical Review 749
Sebastián Torres
39. The Development of Knowledge-based Export Clusters:
Lessons from Costa Rica and Mexico 762
Jorge Cornick
40. Modern Industrial Policy in Latin America: Lessons from
Cluster Development Policies 783
Carlo Pietrobelli
41. Latin American Industrialization: Unfulfilled Expectations
and Future Opportunities 799
Jorge Katz
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Contents xi
42. Industrial Hubs and Structural Transformation in Latin America:
Lessons from Costa Rica 815
Eva Paus
43. Industrial Hubs, Industrial Policy, and Economic
Development in Mexico 836
Jorge Carrillo and Saúl de los Santos
44. FDI, Industrial Hubs, and Latin American Industrialization 855
Anabel González
PART VI POLICY AND PRACTICE:
EMPIRICAL EVIDENCE
FROM AFRICA
45. A Strategic Approach to Industrial Hubs: Learnings
in Ethiopia 877
Arkebe Oqubay and Deborah M. Kefale
46. Hubs Development and Industrial Upgrading in Mauritius 914
Ramola Ramtohul
47. Industrial Hubs and Technology Transfer in Africa’s Apparel
Export Sector 931
Lindsay Whitfield and Cornelia Staritz
48. Chinese Economic and Trade Cooperation Zones in Africa 950
Tang Xiaoyang
49. Legal Framework for Industrial Hubs: A Critical Review
and Lessons for Africa 967
Won Kidane and Belachew M. Fikre
50. Industrialization and Industrial Hubs: Experiences in Kenya,
Rwanda, and Tanzania 985
Josaphat Kweka and Dirk Willem te Velde
51. Special Economic Zones in sub-Saharan Africa: What Drives
their Mixed Performance? 1008
Douglas Zhihua Zeng