Dirigisme
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Dirigisme or dirigism (from French diriger 'to direct') is an economic doctrine in which the state plays a strong directive (policies) role, contrary to a merely regulatory interventionist role, over a market economy.[1] As an economic doctrine, dirigisme is the opposite of laissez-faire, stressing a positive role for state intervention in curbing productive inefficiencies and market failures. Dirigiste policies often include indicative planning, state-directed investment, and the use of market instruments (taxes and subsidies) to incentivize market entities to fulfill state economic objectives.
The term emerged in the
The term has subsequently been used to classify other economies that pursued similar policies, such as
Most modern economies can be characterized as dirigiste to some degree as the state may exercise directive action by performing or subsidizing research and development of new technologies through government procurement (especially military) or through state-run research institutes.[8]
France
This section needs additional citations for verification. (May 2013) |
Before the
Post-war French governments, from whichever political side, generally sought rational, efficient economic development, with the long-term goal of matching the highly developed and technologically advanced economy of the
During the 1945–1975 period, France experienced unprecedented economic growth (5.1% on average) and a demographic boom, leading to the coinage of the term Trente Glorieuses (the "Glorious Thirty [years]").
Dirigisme flourished under the conservative governments of
Indicative planning
The main French tool under dirigisme was
In contrast to
State ownership
Because French industry prior to the Second World War was weak due to fragmentation, the French government encouraged mergers and the formation of "national champions": large industry groups backed by the state.
Two areas where the French government sought greater control were in
This development was marked by volontarisme, the belief that difficulties (e.g. postwar devastation, lack of natural resources) could be overcome through willpower and ingenuity. For instance, following the
India
Dirigisme is seen in
After
Other economies with dirigiste characteristics
Economic dirigisme has been described as an inherent aspect of
Dirigisme has been brought up as a politico-economic scheme at odds with laissez-faire capitalism in the context of French overseas holdings. To varying degrees throughout the post-colonial period, countries such as Lebanon and Syria have been influenced by this motif.[27]
See also
- Colbertism
- Crony capitalism
- Developmental state
- Economic planning
- French Fourth Republic (1946–1958)
- Indicative planning
- Industrial policy
- Mercantilism
- Mixed economy
- State capitalism
- State-owned enterprise
- State-sponsored capitalism
Economies with dirigisme or similar policies
- American School (1790s–1970s), the American model
- Beijing Consensus, the Chinese model
- Economy of France (1945–1975), often known as Trente Glorieuses
- Economy of Singapore
- Economy of Taiwan
- Four Asian Tigers
- Economy of Indonesia
- German model, the German post-war economic model
- Economy of Japan
- National Policy (1876–1920), the Canadian model
- Economy of South Africa (1948–1994) "Volkscapitalisme"
References
- ^ "Dirigisme". Oxford Dictionaries. Retrieved 25 May 2013.
- ISBN 978-1-349-14157-9.
- .
- S2CID 211395480.
- ^ "India's Far from Neo-liberal Economic Order in the Modi Era". 30 October 2020.
- ^ "View: Welcome to Modi's state capitalism 2.0". The Economic Times. 2 February 2022.
- S2CID 212790073.
- ^ Mazzucato, Mariana (25 June 2013). "The myth of the 'meddling' state". Public Finance Focus.
- ^ Panagariya 2008, pp. 31–32
- ^ Panagariya 2008, p. 24
- ^ a b Tharoor 2003, p. 242
- ^ a b Sharma & Dhindsa 2005, p. xxv
- ^ ISBN 978-1-137-02830-3, retrieved 2020-09-04
- ^ a b Mazumdar, Surajit (2012). "Industrialization, Dirigisme and Capitalists: Indian Big Business from Independence to Liberalization". mpra.ub.uni-muenchen.de. Retrieved 2020-09-04.
- ^ Babones, Salvatore (27 July 2011). "Why France Has a Much Better India Strategy Than America". FP.
- ^ Srivastava, Pankaj (27 July 2011). "I believe the neoliberal regime is also reaching a dead end: Prabhat Patnaik". GOVERNANCENOW.
- ^ D'Silva, Jeetha (1 September 2007). "India growth story is attracting talent from govt establishments". Livemint.
- ^ Sikarwar, Deepshikha (27 July 2011). "Sovereign guarantee for all policies issued by LIC will continue". The Economic Times.
- ^ Nirmal, Rajalakshmi (27 July 2021). "Ending APMC monopoly: Centre bites the bullet at last". The Hindu.
- ^ Fernández, Lucía (27 July 2021). "Leading fertilizer companies in India as of February 2021, based on net sales". statista.
- ^ "New Cargo Agency To End Aai Monopoly". Business Standard. 27 July 2021.
- ^ "Energy Statistics 2017" (PDF). Ministry of Statistics and Programme Implementation.
- ^ "About Us". Official webpage of the Shipping Corporation of India. Archived from the original on 6 November 2007. Retrieved 3 June 2009.
- ^ Staley, Sam (2006). "The Rise and Fall of Indian Socialism: Why India embraced economic reform". Reason. Archived from the original on 14 January 2009. Retrieved 17 January 2011.
- ISBN 978-1-139-45264-9.
- S2CID 155046186.
- ^ Quilty, Jim (October 17, 2007). "Cohabitation leading to a shotgun wedding and a bitter divorce". The Daily Star.[permanent dead link]
Further reading
- Cohen, Élie (1992). Le Colbertisme "high tech" : économie des Telecom et du Grand Projet. Paris: Hachette. ISBN 2-01-019343-1.
- Sharma, Anju; Dhindsa, K. S. (2005). Economic Reform and Development. Concept Publishing Company. ISBN 978-8-180-69273-4.
- ISBN 978-0-19-531503-5.
- Tharoor, Shashi (2003). Nehru The Invention of India. Arcade Pub. ISBN 978-1-559-70737-4.