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Chapter 4: Industrial policy

Lars Calmfors, Giancarlo Corsetti, Michael Devereux, Gilles Saint-Paul, Hans-Werner Sinn, Jan-Egbert Sturm and Xavier Vives

EEAG Report on the European Economy, 2008, 105-124

Abstract: This chapter argues against using industrial policy to protect European firms from international competition because of the long-run costs that are likely to arise. Industrial policy should be horizontal rather than sector-based and it should be located mainly at the regional and EU level, but cut back at the national level.

Date: 2008
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