Liberal democracies are under increasing pressure. Growing discontent about inequality, lack of political participation and identity have rekindled populism and a shift away from liberal values. This book argues that liberalism’s reliance on a utilitarian policy framework has resulted in increased concentrations of power, restricting freedom and equality. It examines five key areas of public policy: monetary policy, private property and liability, the structure of the state, product markets and labour markets. Drawing on the German ordoliberal tradition and its founding principle of the dispersal of power, the book proposes an alternative public policy framework. In doing so, it offers a practical pathway to realign policy making with liberal ideas.

High-growth and innovative firms are the drivers of tomorrow's jobs and our future prosperity. Supporting these firms, including how they can access finance, should be one of the highest policy priorities of European governments. By seeking to provide deeper pools of capital across the EU for firms and reducing dependence on bank financing, the EU's proposed Capital Markets Union initiative can make a significant contribution to this agenda. This publication focuses on how the Capital Markets Union might lead to tangible gains in investment and jobs growth. It is based on a micro analysis of the challenges faced by growth and innovative firms in six large member states. The report proposes a bottom-up policy agenda to complement the EU's approach, focused on improving the tax, legal and business support environment for investors and firms.

Liberal democracies are under increasing pressure. Growing discontent about inequality, lack of political participation and identity have rekindled populism and a shift away from liberal values. This book argues that liberalism's reliance on a utilitarian policy framework has resulted in increased concentrations of power, restricting freedom and equality. It examines five key areas of public policy: monetary policy, private property and liability, the structure of the state, product markets and labour markets. Drawing on the German ordoliberal tradition and its founding principle of the dispersal of power, the book proposes an alternative public policy framework. In doing so, it offers a practical pathway to realign policy making with liberal ideas.

The stunning political upheavals witnessed across the western world over the past year have raised the question of whether the neoliberal economic system that has dominated since the 1980s is about to unravel. During the 1930s, when liberalism last came under attack, two distinct ideologies offered hope to the disaffected in society: socialism and populism based along national lines. Neither turned out particularly well. This collected volume asks whether there might now be another way to reform our economic system to drive inclusive growth without having to return to the failed ideologies of the 20th century. It explores the prospect of a political outlook that believes in harnessing the dynamic power of markets, but one that also recognises that markets fail more frequently than some would like us to believe. Such a rethink of our political economy is critical if society is to rebuild its faith in public and private sector institutions, and to prevent extremism emerging once more.