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This book assesses the changing nature of state intervention in the economies of the affluent democracies. Against a widespread understanding that contemporary developments, such as globalization and new technologies, are pressing for a rollback of state regulation in the economy, the book shows that these same forces are also creating new demands and opportunities for state intervention. Thus, state activism has shifted, rather than simply eroded. State authorities have shifted from a market-steering orientation to a market-supporting one. Chief among the new state missions are: repairing the main varieties of capitalism (liberal, corporatist, and statist); making labor markets and systems of social protection more employment-friendly; recasting regulatory frameworks to permit countries to cross major economic and technological divides; and expanding market competition at home and abroad. Because the changes from market steering to market support are so controversial and far-reaching, state officials often find themselves making choices that produce clear winners and losers. Such choices require a capacity to act unilaterally and decisively, even in the face of substantial societal opposition. As a result, state activism, autonomy, and occasionally imposition remain essential for meeting the challenges of today's globalizing economy.
The end of the Cold War ushered in an age of American triumphalism best characterized by the "Washington Consensus:" the idea that free markets, democratic institutions, limitations on government involvement in the economy, and the rule of law were the foundations of prosperity and stability. The last fifteen years, starting with the Asian financial crisis, have seen the gradual erosion of that consensus. Many commentators have pointed to the emergence of a powerful new rival model: state capitalism. In state capitalist regimes, the government typically owns firms in strategic industries. Not beholden to private-sector shareholders, such firms are allowed to operate with razor-thin margins if the state deems them strategically important. China, soon to be the world's largest economy, is the best known state capitalist regime, but it is hardly the only one. In State Capitalism, Joshua Kurlantzick ranges across the world--China, Thailand, Brazil, Russia, South Africa, Turkey, and more--and argues that the increase in state capitalism across the globe has, on balance, contributed to a decline in democracy. He isolates some of the reasons for state capitalism's resurgence: the fact that globalization favors economies of scale in the most critical industries, and the widespread rejection of the Washington Consensus in the face of the problems that have plagued the world economy in recent years. That said, a number of democratic nations have embraced state capitalism, and in those regimes, state-backed firms like Brazil's Embraer have enjoyed considerable success. Kurlantzick highlights the mixed record and the evolving nature of the model, yet he is more concerned about the negative effects of state capitalism. When states control firms, whether in democratic or authoritarian regimes, the government increases its advantage over the rest of society. The combination of new technologies, the perceived failures of liberal economics and democracy in many developing nations, the rise of modern kinds of authoritarians, and the success of some of the best-known state capitalists have created an era ripe for state intervention. State Capitalism offers the sharpest analysis yet of what state capitalism's emergence means for democratic politics around the world.
The state also rises : the roots of contemporary state activism / Jonah D. Levy -- The transformation of the British state : from club government to state-administered high modernism / Michael Moran -- The forgotten center : state activism and corporatist adjustment in Holland and Germany / Anton C. Hemerijck and Mark I. Vail -- Exiting Etatisme? new directions in state policy in France and Japan / Jonah D. Levy, Mari Miura, and Gene Park -- The state and the reconstruction of industrial relations institutions after fordism : Britain and France compared / Chris Howell -- Building finance capitalism : the regulatory politics of corporate governance reform in the United States and Germany / John W. Cioffi -- From maternalism to "employment for all" : state politics to promote women's employment across the affluent democracies / Ann Shola Orloff -- The state in the digital economy / John Zysman and Abraham Newman -- Building global service markets : economic structure and state capacity / Peter Cowhey and John Richards -- The transformation of European trading states / Richard H. Steinberg -- The State and statism : from market direction to market support / Jonah D. Levy.
The Acquisition of Finance -- Labor Management -- Appendix B List of Interviews -- References -- Index
Modern societies currently lack positive alternative visions of the future. Many writers have claimed that the only option is a return to free-market capitalism, in which success and survival depend on being as competitive as possible whether as a nation, firm or individual.; Paul Hirst argues that there are viable alternative futures and widely applicable models that can be used to structure change. Hirst's distinctive approach to political theory reasons from real political problems rather than confining itself to abstract concepts.; Presenting an innovative political position, this collection of essays represents an attempt to re- state a practical third way between the discredited ideals of state socialism and laissez-faire capitalism.
German statism as a political ideology has been the subject of many historical studies. Whereas most of these focus on theoretical texts, cultural works, and vague "traditions", this study understands German statism as a functioning logic of political membership, a logic that has helped to determine who is "in" and who is "out" with regard to the German political community. Tracing statism from the early 19th century through German unification and beyond in the 1990s, the author argues that, with its central concern for a political loyalty that is vetted "from above," it historically served the function of stabilizing the political order and containing democratic mobilization. Beginning in the 1960s, however, a mobilized German democratic consciousness "from below" gradually rejected statism as anachronistic for informing political and policy debate, and German political institutions began to respond to kind.
War--or the threat of war--usually strengthens states as governments tax, draft soldiers, exert control over industrial production, and dampen internal dissent in order to build military might. The United States, however, was founded on the suspicion of state power, a suspicion that continued to gird its institutional architecture and inform the sentiments of many of its politicians and citizens through the twentieth century. In this comprehensive rethinking of postwar political history, Aaron Friedberg convincingly argues that such anti-statist inclinations prevented Cold War anxieties from transforming the United States into the garrison state it might have become in their absence. Drawing on an array of primary and secondary sources, including newly available archival materials, Friedberg concludes that the "weakness" of the American state served as a profound source of national strength that allowed the United States to outperform and outlast its supremely centralized and statist rival: the Soviet Union. Friedberg's analysis of the U. S. government's approach to taxation, conscription, industrial planning, scientific research and development, and armaments manufacturing reveals that the American state did expand during the early Cold War period. But domestic constraints on its expansion--including those stemming from mean self-interest as well as those guided by a principled belief in the virtues of limiting federal power--protected economic vitality, technological superiority, and public support for Cold War activities. The strategic synthesis that emerged by the early 1960s was functional as well as stable, enabling the United States to deter, contain, and ultimately outlive the Soviet Union precisely because the American state did not limit unduly the political, personal, and economic freedom of its citizens. Political scientists, historians, and general readers interested in Cold War history will value this thoroughly researched volume. Friedberg's insightful scholarship will also inspire future policy by contributing to our understanding of how liberal democracy's inherent qualities nurture its survival and spread.
Contemporary tax burden differences in Latin America are a function of historical threats to private property.
Examines the democratic legitimacy of international organisations from a republican perspective, diagnoses the EU as suffering from a democratic disconnect and offers 'demoicracy' as the cure.
This Handbook offers a comprehensive treatment of transformations of the state, from its origins in different parts of the world and different time periods to its transformations since World War II in the advanced industrial countries, the post-Communist world, and the Global South. Leading experts in their fields, from Europe and North America, discuss conceptualizations and theories of the state and the transformations of the state in its engagement with a changing international environment as well as with changing domestic economic, social, and political challenges. The Handbook covers different types of states in the Global South (from failed to predatory, rentier and developmental), in different kinds of advanced industrial political economies (corporatist, statist, liberal, import substitution industrialization), and in various post-Communist countries (Russia, China, successor states to the USSR, and Eastern Europe). It also addresses crucial challenges in different areas of state intervention, from security to financial regulation, migration, welfare states, democratization and quality of democracy, ethno-nationalism, and human development. The volume makes a compelling case that far from losing its relevance in the face of globalization, the state remains a key actor in all areas of social and economic life, changing its areas of intervention, its modes of operation, and its structures in adaption to new international and domestic challenges.