Industrial dynamics

Jackie Krafft

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Abstract: Industrial dynamics is basically dedicated to the study of the drivers of the evolution of industries. In this sense, the analysis of the dynamics of the industry seeks to capture major variables driving the processes of entry/exit, innovation and growth, and to understand their evolution over time. At a more aggregate level, industrial dynamics also seeks to analyse how the emergence, the development or the decline of various industries may influence the economic growth of modern economies. Whatever the chosen level of analysis, the study of industrial dynamics requires the collection of empirical evidence, firstly, to define major stylised facts and regularities of evolution, and secondly, to build a consistent analysis of why and how industries evolve and contribute to economic change. An increasing number of publications are available on this theme, but a full understanding of the dynamics and evolution of industries remains underdeveloped.

Date: 2002
Note: View the original document on HAL open archive server: https://hal.science/hal-00212272
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Published in William Lazonick. IEBM Handbook of Economics, Thomson Learning, pp.187-194, 2002

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