By focussing on cumulativeness and spillover effects of technological knowledge, theories on technological regimes are predominantly supply side oriented in explaining industrial dynamics. This paper introduces demand side considerations as an additional explanation for industrial dynamics....

It has been argued that “… trade adjustment in East Asia…will be rapid and sizable, lifting aggregate growth in these economies even as the domestic non-tradable sectors continue to suffer a decline (as in Mexico)” (World Bank, 1998, p.5). Much hope has been pinned on the electronics...