The United States has (re)discovered industrial policy. As President Joe Biden’s national security strategy puts it, the administration views ‘modern industrial and innovation strategy’ as the backbone of the future economy. It is an economic policy, a trade philosophy and a political strategy focused on making as much as selling, producing as much as buying, and dignity as much as efficiency.
As a foundation for a shift to a post-neoliberal economy and society, this policy framework has potential, particularly with its emphasis on strategic public investment. But to meet the full spectrum of challenges facing Americans, it must go further, embracing new ways of making goods and providing services that emphasise the value of relationships and healthy local economies.
As the name suggests, industrial policy is rooted in an era when the term ‘industry’ was synonymous with…
