Publications

2020
Aiginger K, Rodrik D. Rebirth of Industrial Policy and an Agenda for the Twenty-First Century. Journal of Industry, Competition and Trade. 2020. PDF
2019
Rodrik D, Diao X, McMillan M. The Recent Growth Boom in Developing Economies: A Structural-Change Perspective. In: The Palgrave Handbook of Development Economics. Palgrave Macmillan ; 2019.Abstract

Growth has accelerated in a wide range of developing countries over the last couple of decades, resulting in an extraordinary period of convergence with the advanced economies. We analyze this experience from the lens of structural change – the reallocation of labor from low- to high-productivity sectors. Patterns of structural change differ greatly in the recent growth experience. In contrast to the East Asian experience, none of the recent growth accelerations in Latin America, Africa, or South Asia was driven by rapid industrialization. Beyond that, we document that recent growth accelerations were based on either rapid within-sector labor productivity growth (Latin America) or growth-increasing structural change (Africa), but rarely both at the same time. The African experience is particularly intriguing, as growth-enhancing structural change appears to have come typically at the expense of declining labor productivity growth in the more modern sectors of the economy. We explain this anomaly by arguing that the forces that promoted structural change in Africa originated on the demand side, through either external transfers or increase in agricultural incomes. In contrast to Asia, structural change was the result of increased demand for goods and services produced in the modern sectors of the economy rather than productivity improvements in these sectors.

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August 2019

The Trilemma
The Trilemma. Harvard Magazine. 2019; July-August.
Why We Must Resist Economic Conventional Wisdom
Why We Must Resist Economic Conventional Wisdom. 2019.
Dani Rodrik talks to INET President Rob Johnson about Economics for Inclusive Prosperity (EfIP). April 17, 2019.
Economics After Neoliberalism
Economics After Neoliberalism. 2019.
Boston Review, February 15, 2019
2018
New Technologies, Global Value Chains, and the Developing Economies. 2018. PDF
University of Oxford, Pathways for Prosperity Commission, September 2018
Dani Rodrik Conversation with Ezra Klein (Vox.com) on Trade
Dani Rodrik Conversation with Ezra Klein (Vox.com) on Trade. 2018.
July 19, 2018
Is Populism Necessarily Bad Economics?. AEA Papers and Proceedings 2018. 2018;(108) :196-199.Abstract

I distinguish between political and economic populism. Both are averse to agencies of restraint, or, equivalently, delegation to technocrats or external rules. In the economic domain, delegation to independent agencies (domestic or foreign) occurs in two different contexts: (a) in order to prevent the majority from harming itself in the future; and (b) in order to cement a redistribution arising from a temporary political advantage for the longer-term. Economic policy restraints that arise in the first case are desirable; those that arise in the second case are much less so.

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Second Thoughts on Economics Rules. Journal of Economic Methodology. 2018.
What Do Trade Agreements Really Do?. Journal of Economic Perspectives. 2018;23 (2) :73-90.Abstract
As trade agreements have evolved and gone beyond import tariffs and quotas into regulatory rules and harmonization, they have become more difficult to fit into received economic theory. Nevertheless, most economists continue to regard trade agreements such as the Trans Pacific Partnership (TPP) favorably. The default view seems to be that these arrangements get us closer to free trade by reducing transaction costs associated with regulatory differences or explicit protectionism. An alternative perspective is that trade agreements are the result of rent-seeking, self-interested behavior on the part of politically well-connected firms – international banks, pharmaceutical companies, multinational firms. They may result in freer, mutually beneficial trade, through exchange of market access. But they are as likely to produce purely redistributive outcomes under the guise of “freer trade.”
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Globalization Has Contributed to Tearing Societies Apart
Globalization Has Contributed to Tearing Societies Apart. 2018.
ProMarket, March 29, 2018
Rodrik D, Mukand S. The Political Economy of Ideas: On Ideas Versus Interests in Policymaking. 2018.Abstract

We develop a conceptual framework to highlight the role of ideas as a catalyst for policy and institutional change. We make an explicit distinction between ideas and vested interests and show how they feed into each other. In doing so the paper integrates the Keynes-Hayek perspective on the importance of ideas with the currently more fashionable Stigler-Becker (in-terests only) approach to political economy. We distinguish between two kinds of ideational politics – the battle among different worldviews on the efficacy of policy (worldview politics) versus the politics of victimhood, pride and identity (identity politics). Political entrepreneurs discover identity and policy ‘memes’ (narratives, cues, framing) that shift beliefs about how the world works or a person’s belief of who he is (i.e. identity). Our framework identifies a complementarity between worldview politics and identity politics and illustrates how they may reinforce each other. In particular, an increase in identity polarization may be associated with a shift in views about how the world works. Furthermore, an increase in income inequality is likely to result in a greater incidence of ideational politics. Finally, we show how ideas may not just constrain, but also ‘bite’ the interests that helped propagate them in the first instance.

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Populism and the Economics of Globalization. 2018.Abstract
Populism may seem like it has come out of nowhere, but it has been on the rise for a while. I argue that economic history and economic theory both provide ample grounds for anticipating that advanced stages of economic globalization would produce a political backlash. While the backlash may have been predictable, the specific form it took was less so. I distinguish between left-wing and right-wing variants of populism, which differ with respect to the societal cleavages that populist politicians highlight. The first has been predominant in Latin America, and the second in Europe. I argue that these different reactions are related to the relative salience of different types of globalization shocks.
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Journal of International Business Policy, 2018
What Does a True Populism Look Like? It Looks Like the New Deal
What Does a True Populism Look Like? It Looks Like the New Deal. 2018.
The New York Times, February 21, 2018
2017
Rescuing Economics from Neoliberalism
Rescuing Economics from Neoliberalism. Boston Review. 2017.
Politico Magazine 50 for 2017
Politico Magazine 50 for 2017. 2017.
Rebalancing Globalization. 2017. PDF
October 2017
Altenburg T, Rodrik D. Green Industrial Policy: Accelerating Structural Change towards Wealthy Green Economies.; 2017. PDF
Straight Talk on Trade: Ideas for a Sane World Economy
Straight Talk on Trade: Ideas for a Sane World Economy. Princeton, NJ: Princeton University Press; 2017.
What's Wrong with Our System of Global Trade and Finance
What's Wrong with Our System of Global Trade and Finance. 2017.
John Judis interviews Dani Rodrik on globalization and how to fix it.
Talking Points Memo, June 9, 2017

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