Author:
Stavros Mavroudeas, Panteion University (Athens, Greece)
Abstract:
This paper argues that Mainstream Economics (both Neoclassical and Keynesian) have a myopic understanding of Industrial Policy. This derives from their class perspective (supporting the interests of the capitalist class) and their corelated lack of a political-economic understanding of economic relations and policies. Thus, they oscillate between warm embracement to utter rejection of industrial policy, as the latter is rightfully considered the most interventionist of the economic policies. In this sense, during the era of Neoliberal dominance industrial policy was castigated as inefficient and useless. Since the beginning of the 21st century and as the failure of Neoliberalism became obvious, the novel orthodoxy of New Keynesianism moves towards a return of industrial policy. However, this is a limited return. In contrast to mainstream myopias, Marxist Political Economy offers a robust understanding of industrial policy based on its superior classbased and value-theoretic analytical toolbox.
Keywords: economics, political economy, neoliberalism, industrial policy.
For citation: Mavroudeas S. (2024). Is There a Return of Industrial Policy Within Mainstream Economics? Noonomy and Noosociety. Almanac of Scientific Works of the S.Y. Witte INID, Vol. 3, No. 1, pp. 26–33. DOI: 10.37930/2782-6465-2024-3-1-26-33