RECONSTRUCTIVE-STATE
DOI:
https://doi.org/10.21783/rei.v3i2.225Keywords:
Regulation, Redistribution, Market Failures, Innovation, Justice.Abstract
What is the role of the State in the market economy? The essay discusses three conceptions of the State in contemporary market economies, which have become especially influential over the last century—the regulatory State, the compensatory State and the reconstructive State. The regulatory State seeks to correct market failures. The compensatory State seeks to compensate for inequalities generated by the market economy. The reconstructive State seeks to reshape the borders of the market to make it more inclusive. The contrast between the main features of each model of the State sheds light on the State’s potential to foster national development.Downloads
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