Uncertain boundaries

During the post-World War II period, a pattern emerged in several European countries: centralized and concerted political regulation of the economy based on Keynesian policies, the development of the welfare state and moderately successful attempts at tripartite agreements. This pattern underwent a serious crisis in the 1980s, however, and in the view of many observers was replaced by a far-reaching deregulation of the economy. In contrast to this view, Professor Regini argues that social and political institutions have by no means lost their ability to structure economic activities. They…