Industrial Policy: Hearing Before the Joint Economic Committee, Congress of the United States, Ninety-seventh Congress, Second Session, May 18, 1982U.S. Government Printing Office, 1982 - 222 pages |
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AFDC aggregate aircraft American industry analysis auto automobile banking benefits billion BLUESTONE Board budget priorities budget shift capital committee companies comparative advantage competitive consensus costs countries decline defense demand dollar domestic earnings EAST NORTH CENTRAL effect electronics employment equipment expenditures export Family Disposable Income federal firms Food Stamp Food Stamp programs FTEs funds gains German going groups growth impact incentives income tax increase indus industrial development innovation input-output model interest rates Japan Japanese Japanese automobile industry labor long-term macroeconomic major manufacturing ment MITI MRPIS model national industrial policy nomic NORTH CENTRAL percent private sector problems procurement productivity Reaganomics reduce regions reindustrialization Representative REUSS research and development result revitalization role semi-targeted simulation social specific spending steel strategy tax cut term trade transfer transfer payments U.S. economy U.S. industry U.S. steel United workers
Popular passages
Page 187 - ... approach is wholly non-targeted. It sees no need to direct, aim, or guide the public resources released to the private sector in any particular way. Indeed, freeing them to go wherever the market will take them is the kernel of the approach. Targeted: Industrial Policy At the other end of the spectrum is the notion that, far from being reduced, the polity's role should be intensified. Here the diagnosis is that, compared to other highly successful economies, especially West Germany and above...
Page 189 - ... example, if we cut government revenues by $50 billion through across-theboard cuts in personal income tax, the funds released might well be used mainly to spur private demand for consumer goods and services; little rejuvenation of productive capacity might occur. On the other hand, if those resources are guided to the productive sectors of the economy — not to specific industries — reindustrialization is much more likely to follow. Thus, if tax revenues are "lost...
Page 174 - Neither economic performance in the United States prior to the New Deal nor contemporary economic performance in the most successful industrial economies, such as Japan. Sweden, or Germany, supports this view. Markets failed to guarantee growth and resource utilization during the Great Depression: and strategic government intervention and comprehensive social welfare programs, rather than free markets, have been the engines of economic success throughout the advanced industrial world. Government...
Page 190 - ... replace oil-based or energy-inefficient equipment with equipment which is energyefficient or uses alternative energy resources, the released resources will revitalize, without determining which will benefit: steel or textiles, rubber or rails. The polity will set the context; the market will target. Similarly, providing tax incentives for greater R & D expenditures spurs on all such efforts; it does not require any government trade desk or tripartite committee to decide which R t D project is...
Page 189 - Will our polity, in which the government tends to be weak compared to business, labor, and local communities, especially when these work together for their Chrysler, be able to channel resources to those who merit them by some rational analysis, rather than to those who have political clout? (3) Is the country — both voters and leaders — willing to accept more politicization, less reliance on the marketplace?
Page 187 - Japan, Inc.," above all its MITI (Ministry of International Trade and Industry). The solution lies in government-guided collaborative efforts, in which business and labor pull together, with government agencies and experts serving as the sources of analysis, tax incentives, capital, and informal if not outright control. Attempts by the Carter administration, on its last legs, to turn around the US auto and steel industries according to the suggestions of tripartite committees were viewed as early-bird...
Page 187 - ... that, compared to other highly successful economies, especially West Germany and above all Japan, American institutions provide insufficient guidance and support for the private economy. The market, it is implied or openly stated, has shown its inability to invest enough in new plant and equipment, in innovative and competitive capacity. Executives have grown risk-shy and dividend-happy. Steel mills, auto plants, the textile and rubber industries are crumbling. Computers face a government-orchestrated...
Page 94 - Assistant Secretary for Planning and Evaluation at the Department of Health and Human Services, resigned from the Clinton Administration in protest over the signing of the new welfare law. In an article entitled "The Worst Thing Bill Clinton Has Done," Edelman dubbed the new law "awful" policy that would do "serious injury to American children.
Page 13 - Directors to be comprised of 9 members, the appointment of which shall be allocated pro rata among the Speaker of the House, the Majority Leader of the Senate and the President.
Page 190 - ... energy-efficient or that uses alternative energy sources, the released resources will revitalize, without determining which specific industry will benefit: steel or textiles, rubber or rails. The polity will set the context; the market will target. Similarly, providing tax incentives for greater R&D expenditures spurs on all such efforts; it does not require any government trade desk or tripartite committee to decide which R&D project is desirable. And if workers are provided with productivity-based...