Industrial Policy in Relation to Automobile Production after the Founding of Czechoslovakia : A Case of Support for an Emerging Sector

Result code in IS VaVaI

<a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F00216224%3A14230%2F18%3A00102344" target="_blank" >RIV/00216224:14230/18:00102344 - isvavai.cz</a>

Result on the web

<a href="https://www.sav.sk/journals/uploads/0125122101%2018%20Krpec%20+%20RS.pdf" target="_blank" >https://www.sav.sk/journals/uploads/0125122101%2018%20Krpec%20+%20RS.pdf</a>

DOI - Digital Object Identifier

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Result language

angličtina

Original language name

Industrial Policy in Relation to Automobile Production after the Founding of Czechoslovakia : A Case of Support for an Emerging Sector

Original language description

This paper presents an empirical study of infant industry protection of automobile industry in Czechoslovakia (CS) in the 1920s. This economy – today a major car producer – was traditionally strongly specialized in the production and export of light consumer goods. Nevertheless, the policy of protectionism was followed and heavy industry was promoted by strongly protectionist trade policies. Protection of the automobile industry was of key importance in the trade policymaking process and was generally undisputed. As our empirical study shows, the CS automobile industry never become internationally competitive and heavy protectionist measures were a necessary condition for its existence. However, behind the protective wall, the industry was able to develop production capacities, substitute imports of components, and even export to some extent to less demanding traditional markets in Europe. The paper is therefore a contribution to the economic history research of the development of such “strategic” industries in clear contradiction with the concept of comparative advantage and implications of economic theory. As such, it is another example of the rejection of international division of labor which contributed (in the long term) to the fundamental restructuring of the national industrial structure. As in other national economies (e.g. France, Italy, Japan, Korea etc.), this has never been seriously disputed by policymakers, national industry, or the public.

Czech name

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Czech description

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Type

J_imp - Article in a specialist periodical, which is included in the Web of Science database

CEP classification

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OECD FORD branch

50601 - Political science

Project

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Continuities

S - Specificky vyzkum na vysokych skolach

Publication year

2018

Confidentiality

S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů

Name of the periodical

Ekonomický časopis

ISSN

0013-3035

e-ISSN

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Volume of the periodical

66

Issue of the periodical within the volume

1

Country of publishing house

SK - SLOVAKIA

Number of pages

24

Pages from-to

81-104

UT code for WoS article

000426413200005

EID of the result in the Scopus database

2-s2.0-85042387877