| Economic Interventionism |
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Economic interventionism is a term used to describe any positive (as opposed to defensive) activity undertaken by a central government to affect a country's Economy in an attempt to increase economic growth and/or standards of living. The term was popularised by Ludwig Von Mises , and is particularly common in the works of Classical Liberal and Libertarian writers. Economic interventionism is seen as a common feature of both Left-wing and Right-wing governments that seek to establish or maintain a significant degree of government control over the economy, arguing that central coordination or state assistance is beneficial to the vast majority of people or that market forces alone will not produce good outcomes (due, for example, to Market Failure , or simply because a more market-based system would result in more inequality). Economic interventionism is also practiced by some highly Conservative or Authoritarian administrations, who believe that the state has a responsibility to manage and direct the economy in order to uphold certain moral values. These conservatives typically see the Free Market as a threat to tradition, social order and state authority. Examples of interventionist but conservative governments are the post-WW2 French administrations that followed the policy of Dirigisme . Contrast |