CLIPPINGS

Abstract

Industrial policy is a somewhat grandiose political term for what government has been doing since priests or princes directed seasonally unemployed peasants in the construction of irrigation channels to expand the production of grain. To this day, every aspect of government action—be it taxation, defense spending, the management of currencies and exchange rates, the definition and enforcement of property rights, or the distribution of welfare benefits—helps or hinders one industry or another. No law at the federal, state, or local level is passed without all affected parties pleading the economic benefits for the public. Economic theory has long argued that there is no neutral tax, that all distort market behavior in one way or another. The same may be argued for government policy in general. All help or impede the growth and competitiveness of one industry or another.

Citation

(1994), "CLIPPINGS", Journal of Business Strategy, Vol. 15 No. 6, pp. 11-12. https://doi.org/10.1108/eb039661