Industrial Policy in Practice

Analyze how governments use industrial policy to stimulate growth through tools like tax incentives, infrastructure spending, simplified permitting, subsidies, and support for strategic manufacturing. Use advanced chip production or similar high-capital sectors as an example, and explain why speed, energy costs, skilled labor, and supply-chain reliability matter as much as headline investment. Then suggest how policymakers can tell the difference between a genuine long-term capacity gain and a costly prestige project.