The Political Economy of Social Democratic Economic Policies: The Pasok Experiment in Greece
This article looks at the political economy of social democratic economic policies. It focuses on those policies that seek to extend democracy to the social and economic spheres and examines why such experiments have met with limited success in the past. It compares external constraints on the viability of such policies, such as the freedom of capital movements and globalization, with internal constraints. Since social democratic policies rely on promoting coordination and cooperation between economic agents and groups, it is argued that an important, but often neglected, internal constraint is the extent to which social democracy can draw upon, or, if they are lacking, foster those institutions within society which promote coordination and cooperation. The paper examines in detail the social democratic experience of PASOK in Greece and draws some conclusions for the wider relevance of the future viability of social democratic economic policies. Copyright 1998 by Oxford University Press.
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