It is no secret that Egypt is suffering an economic whirlwind creating difficult living conditions for many. The most pertinent discovery in my personal opinion will be raw realization—coming to terms with the reality of Egypt’s longstanding structural imbalances and the fact that addressing them is the only way to sustainably move past an era of recurring crises and fragility in the face of external shocks. But it had best not come to that for the sake of the people, who are under immense pressure. A fundamental change is needed in the way we view and organize our economy to focus on fairness and resilience as opposed to macroeconomic growth and capital gain. One step to consider is taking a good look at the ‘infant industry’ argument, taught to all economics students at some point, and seeing what lessons can be extrapolated and adapted to the Egyptian context. The protection of infant industries—those not yet sufficiently strong and developed so as to keep up with foreign competitors—has long been studied and debated by economists. The Original ‘Infant Industry’ Argument Notions of protecting young and still-developing industries began, ironically, in the…
Can the ‘Infant Industry’ Protection Argument Help Egypt Overcome its Economic Crisis?
September 2, 2023
