2 John Page, “Africa’s Failure to Industrialize: Bad Luck or Bad Policy?,” Africa in Focus (blog), Brookings Institution, November 20, 2014.
3 Dov Zigler, “Radical Markets versus Sensible Politics,” American Affairs 2, no. 3 (Fall 2018): 53–63.
4 Made in China 2025 and the Future of American Industry, 116th Cong. (2019) (statement of Bonnie S. Glaser, Director, China Power Project, Center for Strategic and International Studies).
7 Marco Rubio, “America Needs to Restore Dignity of Work,” Atlantic, December 13, 2018.
8 Made in China 2025 and the Future of American Industry, Project for Strong Labor Markets and National Development (February 2019).
9 Quoted in Arthur Herman, “The High-Tech War with China,” National Review, August 23, 2018.
10 Robert D. Blackwill and Jennifer M. Harris, War by Other Means: Geoeconomics and Statecraft (Cambridge: Belknap, 2016).
11 Jeff Schogol, “This One Book Will Tell You Everything You Need to Know about Acting SecDef Patrick Shanahan,” Task and Purpose, January 27, 2019.
12 Paul Mason, “Alexandria Ocasio-Cortez’s Green New Deal Is Radical but It Needs to Be Credible Too,” New Statesman, February 13, 2019.
13 Jay Inslee, “Why the Climate Campaign Is the Most Important Campaign,” interview by Chris Hayes, Why Is This Happening?, NBC, July 25, 2019.
14 Makers of Modern Strategy from Machiavelli to the Nuclear Age, ed. Peter Paret (Princeton: Princeton University Press, 1986).
15 Alexander Hamilton’s Famous Report on Manufactures (Boston: Home Market Club, 1892).
16 Gerald Stourzh, Alexander Hamilton and the Idea of Republican Government (Stanford: Stanford University Press, 1970).
17 Arthur Herman, 1917: Lenin, Wilson, and the Birth of the New World Order (New York: Harper, 2017).
18 Gary Dean Best, Pride, Prejudice, and Politics: Roosevelt versus Recovery,
1933–1938 (New York: Praeger, 1991).
19 Robert B. Reich, “Why the U.S. Needs an Industrial Policy,” Harvard Business Review (January 1982).
20 But even Reagan couldn’t resist the appeal of a more active role for government to make America more competitive with its global rivals, particularly Japan. A classified U.S. Defense Intelligence Agency program established in 1983 and dubbed Project Socrates aimed at finding a strategy for coordinating resources to make the United States more competitive in world markets through advanced technologies, while remaining true to the spirit of free market capitalism (the program never caught on, and was axed by Reagan’s successor George H. W. Bush). But the program’s progenitor, Michael Sekora, did use the effort to raise awareness that America’s declining competitiveness wasn’t just because the Japanese weren’t playing fair, but had deeper structural causes.
21 Michael Schuman, “Does America Need an Industrial Policy,” Time (September 17, 2010).
22 Shanta Devarajan, “Three Reasons Why Industrial Policy Fails,” Future Development (blog), Brookings Institution, January 14, 2016.
24 Thomas Philippon, The Great Reversal: How America Gave Up on Free Markets (Cambridge: Belknap, 2019).
25 Arthur Herman, Freedom’s Forge: How American Business Produced Victory in World War II (New York: Random House, 2012), 335–36.
26 Arthur Herman, “How America Got Rich,” Commentary (September 2012).
27 Hence the term Arsenal of Democracy which FDR coined in December 1940: “democracy” meant primarily Great Britain (and also China resisting Japan).
28 United States Senate, “The Truman Committee” (overview).
29 Herman, Freedom’s Forge, 197–98, 205–8.
30 Herman, Freedom’s Forge, 339. See also Herman, “How America Got Rich.”
31 Joseph L. Badaracco Jr. and David B. Yoffie, “‘Industrial Policy’: It Can’t Happen Here,” Harvard Business Review (November 1983).
32 I do not mention funding not because it isn’t important, but because it is more important that the right strategy is arrived at. Sometimes that doesn’t require government funding, let alone active support. The fracking revolution unleashed the animal spirits of the energy industry without federal largesse and even despite resistance by the Obama administration; indeed at a time when federal largesse was directed at clean renewables. The fracking revolution was instead driven by the desire to reduce U.S. dependence on foreign oil and push prices down.
33 Arthur Herman, “Could We Launch Another D-Day Now?,” Fox News, June 6, 2019. See also: Interagency Task Force in Fulfillment of Executive Order 13806, Assessing and Strengthening the Manufacturing and Defense Industrial Base and Supply Chain Resiliency of the United States, U.S. Department of Defense, September 2018.
34 Jeff Green, “The Decline of the Defense Industrial Base—and What to Do about It,” DefenseNews, October 5, 2018.
35 Herman, “The High-Tech War with China.”
36 Ryan Hass and Zach Balin, “US-China Relations in the Age of Artificial Intelligence,” Brookings Institution, January 10, 2019.
37 Arthur Herman, “America Needs to Win the Battle for 5G Supremacy,” National Review, September 24, 2019.
38 Jeanne Whalen, “The Quantum Revolution Is Coming, and Chinese Scientists Are at the Forefront,” Washington Post, August 18, 2019.
39 National Quantum Initiative Act, H.R. 6227, 115th Cong. (2018).
40 Arthur Herman, “The Pentagon’s ‘Smart’ Revolution,” Commentary (June 2016).
41 Bruce R. Scott, “How Practical Is National Economic Planning?,” Harvard Business Review 56, no. 2 (March/April 1978).