The Future of the Capitalist State for Ngai-Ling the Future of the Capitalist State
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The Future of the Capitalist State For Ngai-Ling The Future of the Capitalist State Bob Jessop polity Copyright © Robert Jessop 2002 The right of Robert Jessop to be identified as author of this work has been asserted in accordance with the UK Copyright, Designs and Patents Act 1988. First published in 2002 by Polity Press in association with BlackweU Publishing Ltd. Editorial office; Polity Press 65 Bridge Street Cambridge CB2 lUR, UK Marketing and production: Blackwell Publishing Ltd 108 Cowley Road Oxford OX4 IJF, UK Distributed in the USA by Blackwell Publishing Inc. 350 Main Street Maiden, MA 02148, USA All rights reserved. Except for the quotation of short passages for the purposes of criticism and review, no part of this publication may be reproduced, stored in a retrieval system, or transmitted, in any form or by any means, electronic, mechanical, photocopying, recording or otherwise, without the prior permission of the publisher. ISBN 0-7456-2272-0 ISBN 0-7456-2273-9 (pbk) A catalogue record for this book is available from the British Library and has been applied for from the Library of Congress. Typeset in 10 on 12 pt Times by SNP Best-set Typesetter Ltd., Hong Kong Printed and bound in Great Britain by MPG Books Ltd, Bodmin, Cornwall For further information on Pohty, visit our website: http://www.polity.co.uk Contents List of Boxes viii List of Tables and Figure ix Preface x Abbreviations xii Introduction 1 1 Capitalism and the Capitalist Type of State 11 1 Capital as a Social Relation 12 2 Accumulation as a Principle of Societalization 22 3 Capital, the State, and Policy Regimes 36 4 On Spatio-temporal Fixes 48 5 Governance and Metagovernance 51 6 Concluding Remarks 53 2 The Keynesian Welfare National State 55 1 On Atlantic Fordism 56 2 TheKWNS 58 3 Distinctive Features of the KWNS as a National State 71 4 The KWNS and the Spatio-temporal Fix of Atlantic Fordism 73 5 Crisis 80 6 The Discursive Mediation of Crisis 92 3 The Schumpeterian Competition State 95 1 Post-Fordism and the Knowledge-based Economy 95 2 Old and New Contradictions in Post-Fordism IO3 vi Contents 3 The Impact of Globahzation 4 Schumpeterian Policies and Competitiveness 5 Building the Competition State as a Response 6 Discourse and Discursive Change 7 How this Corresponds to Post-Fordism 8 Concluding Remarks 4 Social Reproduction and the Workfare State 140 1 Preliminary Considerations 141 2 Alternative Approaches to Welfare State Reform 143 3 The Specificity of the Welfare State in Atlantic Fordism 148 4 Towards the Workfare State 152 5 Collective Consumption and the Competition State • 162 6 Concluding Remarks 168 5 The Political Economy of State Rescaling 172 1 The National State 173 2 Crisis in the National Character of the KWNS 174 3 The Political Economy of Scale 177 4 Scales of Competition 187 5 Trends in the State 193 6 Countertrends in the State 201 7 Rescaling and the KWNS: The Case of Europe 204 8 Is There Still a Role for the National State? 211 9 Concluding Remarks 213 6 From Mixed Economy to Metagovernance 216 1 The Material Bases of Governance Mechanisms 217 2 Market and State Failure 224 3 The Governance of Atlantic Fordism and Beyond 231 4 Governance Failure? 236 5 Metagovernance 240 6 Metagovernance Failure 243 7 Concluding Remarks 245 7 Towards Schumpeterian Workfare Postnational Regimes? 247 1 Trends and Claims 248 2 The Ideal-Typical SWPR 250 3 On the Use of Ideal Types 254 4 Alternative SWPR Strategies 259 5 Post-Fordism and the SWPR 267 Contents 6 Resolving Offe's Paradox: Capitalism and the Welfare State 27 Notes 27 References 2g Index 2^ List of Boxes Box 1.1 The'law of value'in capitalism 17 Box 1.2 Some functions of the capitalist type of state 45 Box 2.1 Esping-Andersen's fourfold typology of welfare regimes 62-3 Box 3.1 Forms of competitiveness 121-2 Box 3.2 The Schumpeterian competition state and capital accumulation 138 Box 5.1 Trends and countertrends in state restructuring 202 Box 5.2 Rescaling and state intervention 214 Box 7.1 Strategies to promote or adjust to global neoliberalism 262 Box 7.2 Synopsis: the SWPR and the reproduction of capital 271-5 List of Tables and Figure Table 1.1 Sources of tension in basic forms of the capital relation 20 Table 1.2 Bases of capitalist societalization and resistance thereto 33 Table 1.3 Some new concepts in the strategic-relational approach 35 Table 1.4 Some key features of the capitalist type of state 38-9 Table 2.1 The Keynesian welfare national state (KWNS) 59 Table 2.2 Major symptoms in the perennial welfare state crisis 93 Table 4.1 Forms of neoliberalism 169 Table 5.1 Typology of imagined political communities linked to nation-states 173 Table 5.2 Glurbanization vs glocalization 190 Table 6.1 Modalities of governance 230 Table 7.1 The Schumpeterian workfare postnational regime 252 Figure 7.1 Schematic representation of changing forms of state intervention according to periodization of capital accumulation 270 Preface In addition to the three giants, Gramsci,Poulantzas and Luhmann, whose intellectual shoulders I have attempted to straddle in developing the argument below and whose contribution is detailed in the Introduction, there are many immediate personal debts incurred in writing this book that I would like to acknowledge. These are owed to the scholars and friends with whom I have shared or, at least, debated my ideas over many years. Singling out the most influential is invidious and, in any case, they know who they are. So I will simply note that special mention is due for various reasons, large and small, to Elmar Altvater, Ash Amin, B30rn Terje Asheim, Henrik Bang, Jens Bartelson, Mats Benner, Werner Bonefeld, Robert Boyer, Neil Brenner, Terrell Carver, Hee-yeon Cho, Myung-Rae Cho, Simon Clarke, Chris Collinge, Ryan Conlon, Robert DeJorme, Alex Demirovic, Frank Deppe, Biilent Diken, Gerard Dumenil, Josef Esser, Norman Fairclough, Steve Fleetwood, Ann Haila, Colin Hay, Jerzy Hausner, Joachim Hirsch, John Holloway, Carsten Jensen, Jane Jenson, Joo Hyoung Ji, Martin Jones, Tetsuro Kato, Eleonore Kofman, Ernesto Laclau, Patrick Le Gales, Alain Lipietz, Gordon MacLeod, Rianne Mahon, Birgit Mahnkopf, James Martin, Margit Mayer, Marguerite Mendell, Timothy Mitchell, Lars Mj0set, Chantal Mouffe, Yoshikazu Nakatani, Klaus Nielsen, Claus Offe, Joe Painter, Leo Panitch, Ove Kai Pedersen, Markus Perkmann, Sue Penna, Jamie Peck, Sol Picciotto, Moishe Postone,Martin Rhodes, John Roberts, Ralf Rogowski, Andrew Sayer, Takeshi Shinoda, George Steinmetz, Gerry Stoker, Gunther Teubner, Adam TickelJ, Bruno Theret, Adam Tickell,Chao-Ming Tseng, ConstantineTsoukalas, JohnUrry,Jenn-hwan Wang, Helmut Willke and David Wolfe. None of them can be held responsible for the errors in this book - indeed only two of them have XI Preface read even one of its successive drafts in its entirety and few have followed its tortuous development from beginning to end - but they have nonetheless helped to make it better than it would otherwise have been through their influence at various stages in its gestation. I have also benefited immensely from the encouragement, criticism and, sometimes, blank incomprehension of countless other scholars and students over many years. For institutional support at different times I would also like to thank the Zentrum fiir Interdisziplinare Forschung at Bielefeld University for a year's fellowship as part of its joint research project on Staatsaufgaben (1988-9), Manchester University for a Hallsworth Senior Research Fellowship (1996-7), the Japan Society for the Promotion of Science for a productive two-month visit to Hitotsubashi University, Tokyo (1997), the Danish Social Research Council for a visiting Research Professorship at Roskilde University (1997-8), and the Centre for Organization and Management, Copenhagen Business School, for support during a whole series of academic visits. Many of the arguments developed here came together during a three-year research project on economic development and local governance financed by the Economic and Social Research Council (United Kingdom) under grant L311253032. For his interest and commitment as I began this book, I wish to thank David Held. For their continuing encouragement and their polite responses to increasingly incredible excuses for the delays involved in its completion, I would like to express my gratitude to Lynn Dunlop and Rachel Kerr. And for judicious copy-editing, thanks go to Sarah Dancy. Finally, the most important influence on my life in the last twelve years has been Ngai-Ling Sum. As well as being my constant intellectual companion during these years, she has also proved my closest friend and devoted partner. It is to her that this book is dedicated with the warmest love and the deepest appreciation for everything. Bob Jessop Lancaster Abbreviations B2B Business-to-business B2C Business-to-consumer CIS Commonwealth of Independent States Comecon Council for Mutual .Economic Assistance EC European Commission EMU European Monetary Union EU European Union FDI Foreign Direct Investment G2B Government-to-business GATT General Agreement on Trade and Tariffs ICT Information and Communication Technologies ILO International Labour Organization IPR Intellectual Property Rights IMF International Monetary Fund KBE Knowledge-based economy KWNS Keynesian Welfare National State MNC Multinational Company NAFTA North American Free Trade Agreement NET 'Natural Economic Territory' NGO Non-governmental Organization NIC Newly Industriahzing Country OECD Organization for Economic Cooperation and Development OPEC Organization of Petroleum Exporting Countries R&D Research and development SEM Single European Market SWPR Schumpeterian Workfare Postnational Regime AbbreviaHons XIII TNB Transnational Bank TRIPS Trade-Related Aspects of Intellectual Property Rights UN United Nations UNESCO United Nations Education and Science Commission WTO World Trade Organization Introduction This book is a product of many years of intermittent reflection on the capitahst state and its role in postwar capitalism and involves a system• atic attempt to move beyond sympathetic critiques of other theoretical currents in order to present my own analysis of the actually existing capitalist state.