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Full Description
The U.S. is losing the competition for good jobs and high-value industries because most of Washington believes trade should be free, the dollar should float, and that innovation comes exclusively from the private sector. In this book, the authors make the bold case that these laissez-faire ideas have failed and that a robust industrial policy is the only way for America to remain prosperous and secure. Trump and Biden have enacted some of its elements, but it needs to be made systematic and comprehensive, including tariffs to protect key industries, a competitive exchange rate, and federal support for commercialization—not just invention—of new technologies. Timely, meticulously researched, and bipartisan, this impressive analysis replaces misunderstandings about industrial policy with lucid explanations of its underlying economic theory, the tools that implement it, and its successes (and failures) in America and abroad. It examines key industries of the past and future - steel, automobiles, television, semiconductors, space, aviation, robotics, and nanotechnology. It concludes with a realistic, actionable policy roadmap. A work of rigor and ambition, Industrial Policy for the United States is essential reading.
Contents
Preface; Introduction; Part I. The Underlying Economics: 1. Why the free market can't do everything; 2. The dynamics of advantageous industries; 3. The Industrial Policy Tool Kit; 4. Trade, currencies & industrial policy; Part II. Country Case Studies: 5. Japan: the first Asian miracle; 6. Korea: development despite turbulence; 7. China: pursuing economic hegemony through mercantilism; 8. Germany: the art of relationship capitalism; 9. France: the triumph & failures of the state; 10. Britain: no theory & little execution; 11. India: dysfunctional socialism, directionless capitalism; 12. Argentina: a dual cautionary tale; Part III. The Forgotten History: 13. The renaissance origins of industrial policy; 14. US industrial policy 1750-1865: developing a new nation; 15. US industrial policy 1866-1939: the highpoint of protectionism; 16. US industrial policy 1940-1973: the golden age of the us economy; 17. US industrial policy 1974-2007: doubling down on free markets; 18. US industrial policy 2008-present: the end of the old order; Part IV. Innovation as A System: 19. Governmentally supported innovations; 20. Federal science & technology programs; 21. Federal proactive innovation programs; 22. Industrial policy for advanced manufacturing; 23. Micro-governance of industrial policy; 24. The crisis of the American patent system; Part V. Industry Case Studies: 25. Automobiles: decline & a chance at revival; 26. Semiconductors, aviation & space: the military connection; 27. Robotics: a global industrial policy competition; 28. Nanotechnology: is America losing the future?; Part VI. Regional Cluster Case Studies: 29. The Massachusetts life sciences cluster; 30. The upstate New York semiconductor cluster; Recommendations: an industrial policy for the United States; Notes; Select bibliography; Index.
