Dani Rodrik: doing industrial policy right

This article is an on-site version of our Unhedged newsletter. Sign up here to get the newsletter sent straight to your inbox every weekday Good morning. Traders are braced for today’s annual revisions to the consumer price index’s seasonal factors. Some think it could affect stocks, perhaps by making inflation look somewhat scarier. We at Unhedged are in disbelief that seasonal adjustment methodology could move markets, and are instead braced for the weekend. Email us: robert.armstrong@ft.com and ethan.wu@ft.com. Dani Rodrik, the Harvard economist, is best known for his early critiques of unfettered globalisation. But he has also long been one of the economics profession’s most careful proponents of industrial policy, the deliberate government steering of industry. Just as these sorts of interventions were coming into vogue in the US and elsewhere, Rodrik and his co-authors published an influential August 2023 paper called The New Economics of Industrial Policy. Below, Rodrik discusse

This article is an on-site version of our Unhedged newsletter. Sign up here to get the newsletter sent straight to your inbox every weekday Good morning. Traders are braced for today’s annual revisions to the consumer price index’s seasonal factors. Some think it could affect stocks, perhaps by making inflation look somewhat scarier. We at Unhedged are in disbelief that seasonal adjustment methodology could move markets, and are instead braced for the weekend. Email us: robert.armstrong@ft.com and ethan.wu@ft.com. Dani Rodrik, the Harvard economist, is best known for his early critiques of unf