Debating Industrial Policy and Government Intervention

The chapter delves into the debate of market failure and government intervention, discussing the arguments made by Cambridge welfare economists in the 1920s about industrial policy. It explores concerns about government's ability to choose industries, political manipulations, and the need for competition policy to address market imperfections. The conversation ranges from the role of experts in decision-making processes, the necessity of public insurance in healthcare, to reevaluating government intervention and failure in market systems.