Technology and Development in the Third Industrial Revolution

By the mid-1970s it was becoming clear that traditional Keynesian demandmanagement could no longer cope with growing imbalances in the global economy or revitalise the slowing engine of economic growth. In place of demand management, monetarism became increasingly fashionable, especially in the political realm, emphasizing the efficiency of markets in resource-allocation and highlighting rent-seeking behaviour and other forms of state failure. Its growing influence on policy led to concerted attempts to roll back the state, initially in the rich countries and subsequently in the Third World.