physical and social environments, ¹ the contemporary quest for structural and
policy
innovation in the advanced democracies raises anew fundamental questions
concerning both quantitative and qualitative dimensions of social control and
individual rights.

This volume explores two interrelated responses to the economic
imperatives of the final three decades of the twentieth century. Both represent
an
effort to continue the long-term push to raise living standards and expand
democratic rights, that is, to continue the basic objectives of the postwar
consensus, but by different means.

The first response involves an effort to develop sector-specific policies,
generally categorized under the rubric of "industrial policy," as a supplement
to
general Keynesian policies of fiscal stimulus that no longer seem sufficient in
today's world. Industrial policies characteristically involve efforts by public
officials--in the words of Chalmers Johnson--"to develop or retrench various
industries in a national economy in order to maintain global competitiveness." ²
Such policies are designed to promote selective economic growth and employment
opportunities while avoiding the inflationary impact of general Keynesian
stimuli
to the economy as a whole. Accordingly, they may be directed at regional,
branch,
and/or firm-specific levels of economic support.

The second response to the need to redefine economic and social
management embraces a variety of reform measures to broaden employee rights at
the workplace so as to ensure, at the micro level, rights of economic
citizenship
comparable to the rights of political citizenship guaranteed in democracies.
Such
rights pertain both to employee participation in the decision-making process
and,
in some countries at least, to participation in ownership.

Industrial policy and workplace reform are inextricably linked, in practice
if not explicitly in theory. As individual chapters in this volume illustrate,
an
increase in government economic activism during the 1960s and early 1970s was
broadly associated with an expansion of institutional rights of employee
consultation at the workplace. Conversely, economic crises of stagflation during
the 1970s and early 1980s witnessed a significant curtailment in the movement
toward workplace reform, especially in Europe.

The end of World War II promised a fundamental departure from what
Andrew Shonfield describes as the "cataclysmic failure" of economic policies in
the
1930s. ³ Acting to achieve "freedom from want," which President Franklin Delano
Roosevelt and Prime Minister Winston Churchill had enshrined as one of the basic
freedoms in the Atlantic Charter in 1941, American and European leaders enacted
broadly similar programs during the 1950s and 1960s to maximize social and
economic security. The principal elements of the transatlantic "postwar
settlement"
included a public commitment to full employment; a safety net of social welfare
benefits designed to protect those forced out of the labor market because of
age,

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