Import Substitution Policies & Foreign Direct Investment in Developing Countries during the Cold War

July 7, 2016 | 13:30 h - 14:30 h

We cordially invite you to our next public lecture with

Dr. Jean-Jacques Dethier, Former Research Manager, Development Economics Vice Presidency, the World Bank, and Georgetown University, Washington, D.C. Adjunct Professor.

on Import Substitution Policies & Foreign Direct Investment in Developing Countries during the Cold War

Date: Thursday, July 7, 2016, 1:30 – 2:30 p.m.
Venue: Zentrum für Entwicklungsforschung / Center for Development Research (ZEF), Walter-Flex-Straße 3, 53113 Bonn (see <link 2316>map</link>). Right conference room.

The session will be chaired by Prof. Joachim von Braun, Director of ZEF.


After World War II, the development strategy of almost all Third World countries (Argentina, Brazil, Mexico, India, Pakistan, the Philippines, Taiwan, etc) was based on import-substitution industrialization —a strategy which itself was largely the result of the international trade pessimism of the post-war era. Some fifteen years later, the strategy was running into trouble. The opponents of the strategy explained this as follows. Protectionist measures raised costs and reduced international competitiveness of manufacturing industry. In addition, they differentiated between producers in the wrong way. Manufactured consumer goods benefited from high protection. The use of imported capital goods and other imported inputs was encouraged and agriculture and exports were discouraged. The adoption of import-substitution industrialization in the Third World is usually considered a nationalist development strategy explained by domestic political factors or by the situation of those new nations on the international scene. But this traditional explanation ignores the role of the United States in sponsoring import-substitution industrialization in the Third World.



Dr. Jean-Jacques Dethier has worked at the World Bank since 1985, both in Operations and in Research. He is an Adjunct Professor at Georgetown University where he teaches a graduate course on development. He serves as a Senior Fellow at the University of Bonn, Germany, where he spent a year (1998-99) at the Centre for Development Research (ZEF). Prior to the World Bank, he worked for ILO and was a consultant for USAID, FAO, IFAD and private consulting firms. He is a Belgian citizen and has lived for extended periods in Belgium, Germany, the UK, Peru, Egypt and the USA.

Entrance to the lecture is free, no registration is required. We are looking forward to seeing you at ZEF on July 7!


Joachim von Braun

Prof. Dr. Joachim von Braun