Industrial Policy and the Creation of New Industries: Evidence from Brazil's Bioethanol Industry. Tarun Khanna, 2014, Paper. "Industrial policy programs are frequently used by governments to stimulate economic activity in particular sectors of the economy. This study explores how an industrial policy program can affect the creation and evolution of an industry and, ultimately, the long-term performance of firms. We examine the history of the Brazilian bioethanol industry..." May require purchase or user account. Link Verified October 12, 2014