Right now, industrial policy is back in vogue in the US. The administration is making an effort at reviving specific sectors, notably in areas of clean energy and semiconductors. But despite all of the money being spent on subsidies of various sorts, there's no guarantee it will actually work. If it were easy, every country would do it. So what are the conditions that make it possible? And how can it go sour? On this episode of the podcast, we speak with Vivek Chibber, a professor at NYU, and the author of several books including Locked In Place, which compares the development experience of South Korea and India. We talk about the interaction of economic policy and domestic politics, as well as the specific political conditions that need to be in place that allow the government to provide "gifts" to companies, and for those gifts to actually turn into leading edge industrial leaders, rather than for that money to simply go into the pockets of investors. Among the things we discuss are: What industrial policy actually is and what it's going to take for the US endeavors to actually become successful.

Read More:
How Economic Complexity Explains Which Countries Become Rich
Adam Tooze on the Big Misconceptions of the Chinese Economy

Right now, industrial policy is back in vogue in the US. The administration is making an effort at reviving specific sectors, notably in areas of clean energy and semiconductors. But despite all of the money being spent on subsidies of various sorts, there's no guarantee it will actually work. If it were easy, every country would do it. So what are the conditions that make it possible? And how can it go sour? On this episode of the podcast, we speak with Vivek Chibber, a professor at NYU, and the author of several books including Locked In Place, which compares the development experience of South Korea and India. We talk about the interaction of economic policy and domestic politics, as well as the specific political conditions that need to be in place that allow the government to provide "gifts" to companies, and for those gifts to actually turn into leading edge industrial leaders, rather than for that money to simply go into the pockets of investors. Among the things we discuss are: What industrial policy actually is and what it's going to take for the US endeavors to actually become successful.
Read More: <a href="https://www.bloomberg.com/news/articles/2023-08-14/how-tradle-helps-explain-economic-complexity-and-how-countries-become-rich?utm_medium=referral&amp;utm_source=podcast&amp;utm_campaign=odd_lots&amp;utm_content=article">How Economic Complexity Explains Which Countries Become Rich</a> <a href="https://www.bloomberg.com/news/articles/2024-09-12/adam-tooze-on-the-big-misconceptions-of-the-chinese-economy?srnd=oddlots?utm_medium=referral&amp;utm_source=podcast&amp;utm_campaign=odd_lots&amp;utm_content=article">Adam Tooze on the Big Misconceptions of the Chinese Economy</a>

Bloomberg's Joe Weisenthal and Tracy Alloway explore the most interesting topics in finance, markets and economics. Join the conversation every Monday and Thursday.

Bloomberg's Joe Weisenthal and Tracy Alloway explore the most interesting topics in finance, markets and economics. Join the conversation every Monday and Thursday.

Bloomberg's Joe Weisenthal and Tracy Alloway analyze the weird patterns, the complex issues and the newest market crazes. Join the conversation every Tuesday and Thursday for interviews with the most interesting minds in finance, economics and markets.

Odd Lots

On Bloomberg’s Odd Lots podcast Joe Weisenthal and Tracy Alloway explore the most interesting topics in finance, markets, and economics. Join the conversation every Monday and Thursday. 

On Bloomberg’s Odd Lots podcast Joe Weisenthal and Tracy Alloway explore the most interesting topics in finance, markets, and economics. Join the conversation every Monday and Thursday.

This Is How Industrial Policy Can Go Bad

https://api.omny.fm/orgs/e73c998e-6e60-432f-8610-ae210140c5b1/clips/b43ef3ad-b6ba-4afb-b5e7-b1f600e48b62/transcript

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