Over the past 40 years, the United States and other Western liberal democracies have pursued policies that prioritized markets over government intervention. But, as China and even the US have shown, governments are not limited to a binary choice between laissez-faire and top-down planning.
WASHINGTON, DC –To intervene or not to intervene. That has been a central debate about the state’s role in the economy at least since the eighteenth century. Over the past 40 years, the United States and other Western liberal democracies have championed free markets, free trade, and a limited role for government – a stance known as neoliberalism or “market fundamentalism.” To some commentators, the recent passage of the CHIPS and Science Act and the Inflation Reduction Act, US President Joe Biden’s two signature industrial policies, marks the end of neoliberalism and the re-emergence of interventionism as the dominant paradigm.
WASHINGTON, DC –To intervene or not to intervene. That has been a central debate about the state’s role in the economy at least since the eighteenth century. Over the past 40 years, the United States and other Western liberal democracies have championed free markets, free trade, and a limited role for government – a stance known as neoliberalism or “market fundamentalism.” To some commentators, the recent passage of the CHIPS and Science Act and the Inflation Reduction Act, US President Joe Biden’s two signature industrial policies, marks the end of neoliberalism and the re-emergence of interventionism as the dominant paradigm.