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QueriesAutumn 2013 / Issue 2 / €5.90 THE EUROPEAN PROGRESSIVE MAGAZINE MY EUROPE by Michelle Bachelet ONES TO WATCH Emma Reynolds Joseph Muscat IN NUMBERS 2013 UNCTAD Trade & Development Report EUROPEAN INDUSTRIAL STRATEGY responsible, equitable, sustainable? ESSAY: Mariana Mazzucato on the Entrepreneurial State COMMENT: Anthony Giddens About Queries Isaac Newton’s famous book “Opticks” concludes with a set of “Queries.” These “Queries” are not questions in the ordinary sense, but rather rhetorical questions intended to stimulate thinking. This was Newton’s mode of explaining “by query.” Made with the financial support of the European Parliament No 2 / Autumn 2013 / ISSN 2032-9113 – Queries is the scientific magazine of the Foundation for European Progressive Studies. The Foundation for European Progressive Studies (FEPS) is the first progressive political foundation established at the European level. Created in 2007 and co-financed by the European Parliament, it aims at establishing an intellectual crossroad between social democracy and the European project Publisher: FEPS – Foundation for European Progressive Studies. First published in Belgium 2012/2013 Magazine Editor of Queries: Dr. Ernst Stetter (Secretary General – FEPS) Editor-in-Chief: Alain Bloëdt Associate Editor-in-Chief: Olivier Breton Editorial Consultant: Giovanni Cozzi – Journalists: Lorenzo Consoli, Yves de Saint Jacob, Jacques Docquiert, Karl Falcon, Nicolas Gros-Verheyde, Trevor Huggins, Kim Rahir. Cover Illustration: Antoine Corbineau – Design & Production: All Contents, France Photo Credits (Pages 6-7): T. Sorrentino, Michelle Bachelet – Headquarters, Horst Wagner, Derek George Photography, N. Pires, FEPS, Tod’s, University of Warwick, University of Campinas, European Union 2013, Finance Watch, Florian Schäfer, Mariana Mazzucato, Creamer Media, Department of Information – Malta, Sportissimo/Pillaud, Zaman/Kursat Bayhan, Lars Hagberg, Paul Hu/Assignment Asia/ CLSA Investors’ Forum, DR Copyright © FEPS – Foundation for European Progressive Studies. 2 QUERIES — Autumn 2013 EDITORIAL © FEPS TIME FOR EUROPEAN reindustrialisation ntonio Tajani, the conservative Euro- innovation process. Instead, we need public investment pean Commissioner for Industry and in areas where the private sector cannot or is not willing Entrepreneurship, asserts that “auster- to be active (page 113). ity may actually shut down the first out- A very good example is illustrated by Marianna Mazzucato, breaks of recovery” (page 55). This is a who reminds us (page 47) that the US has spent the last welcome step away from the austeri- few decades using active interventionist policies to drive ty-onlyA solutions advocated by mainstream policymakers, private sector innovation in the pursuit of broad public however many policy proposals still do not take into policy goals, e.g. the algorithm at the heart of the Google account the prominent role that the state should play in search engine! promoting technological and industrial development. Anthony Giddens (page 59) also highlights the need to It is only through a significant increase in public and actively support research and development (R&D) and private investment towards innovative and cutting-edge claims that “Europe clearly needs to turn a corner in eco- technologies that Europe will succeed in creating more nomic terms or R&D expenditure will continue to decline.” jobs and stimulating growth. Indeed, as highlighted by This clearly requires both state and private sector to invest several international political economists in the Beyond and support long-term industrial strategies. Europe section (page 84), the state, both in advanced To this end, Louis Lemkow stresses that “the state has to economies and emerging markets, has always been a key be more present, more aggressive and more visible – and economic actor in promoting economic development and that’s where the progressive parties have a major role to innovation. play”. Consequently, the pressure is on and the opportu- The theme of this year’s Call to Europe conference – the nity has arisen for a responsible, equitable and sustainable annual signature event of the Foundation for European industrial strategy. The question remains: do we have the Progressive Studies – was Beyond Austerity: Building Euro- necessary instruments and the political will to embark on pean Solidarity. Experts at this event emphasised that a new economic path? future growth will require Europe to become more inno- vative. Therefore, government has a central role to play Massimo D’Alema, that goes well beyond cutting red tape hindering the FEPS President, former Prime Minister of Italy QUERIES — Autumn 2013 3 CONTENTS CONTENTS #02 Contents European Industrial Strategy Responsible, equitable, sustainable? Page 32 Corbis © Corbineau Antoine Atelier © Corbis © INPUT FOCUS INSPIRATION P. 10 MY VIEW P. 34 FOREWORD P. 94 MEET THE PRESS Claude Onesta Charlotte Billingham & Giovanni Cozzi Personal Data in a Digital Society P. 12 ONES TO WATCH P. 36 IN NUMBERS P. 98 PORTFOLIO Emma Reynolds UNCTAD European Cities & Sustainable Development Joseph Muscat Stephanie Blankenburg Photographs by Yann Arthus-Bertrand P. 20 ANALYSIS P. 42 ESSAY P. 108 INSIGHT Eneko Landaburu Mariana Mazzucato Hannes Swoboda P. 23 COLUMN P. 50 INQUIRY P. 110 REPORT Susanna Camusso The Failure of the European Industrial Policy Call to Europe III P. 24 VISION P. 60 INTERVIEW P. 116 DIARY Elaine McCrate Pascal Lagarde FEPS & Members P. 28 MY EUROPE P. 62 ESSAY P. 120 ZOOM Michelle Bachelet Louis Lemkow Fondation Jean-Jaurès NEW P. 68 JOINT INTERVIEW P. 122 PUBLICATIONS Marita Ulvskog & John Grahl Dimitris Tsarouhas Christophe Sente More information at P. 72 ESSAY Andy Smith Michel Aglietta www.queries-feps.eu P. 78 INTERVIEW Andreas Görgen P. 84 BEYOND EUROPE P. 90 VOTEWATCH How to support innovation in European SMEs? 4 QUERIES — Autumn 2013 QUERIES — Autumn 2013 5 CONTRIBUTORS CONTRIBUTORS CONTRIBUTORS Pascal Lagarde Benoît Lallemand Eneko Landaburu Louis Lemkow Mariana Executive Director Senior Policy Analyst Former European Professor of Mazzucato of the French Public at Finance Watch Union Ambassador Environmental Science Italian-American They have contributed to the Queries debates and thinking. Investment Bank to Morocco at the Universitat Economist Autònoma de Barcelona Michel Aglietta Yann Arthus- Michelle Bachelet Charlotte Stephanie Elaine McCrate Seeraj Mohamed Joseph Muscat Claude Onesta Emma Reynolds French Economist & Bertrand Former President Billingham Blankenburg Associate Professor Director of CSID & Prime Minister Head Coach of British Shadow Emeritus Professor of French Photographer, of Chile FEPS Executive Professor of International of Economics at the Senior Lecturer of Malta the French National Minister for Housing Economics at the University Journalist & Reporter Advisor Political Economy at SOAS University of Vermont at the University of Handball Team of Paris Ouest - - University of London the Witwatersrand La DéfenseNanterre Olivier Blond Anne Bouverot Susanna Dae-oup Chang Giovanni Cozzi Ana Rosa Ribeiro Jyoti Saraswati Fernando Sarti Christophe Sente Andy Smith Editorial Director Director General Camusso Professor of FEPS Economic de Mendonça Professor of Political Assistant Professor & Political Scientist Researcher & Professor at GoodPlanet of the GSM Association General Secretary Developmental Studies Advisor Researcher & Assistant Economy at Stern Dean of the Institute at the Université Libre of Public Policies at Foundation of the Italian General at SOAS - University Professor at School of Business of Economics - de Bruxelles Sciences Po Bordeaux Confederation of London the University - New York University University of of Labour of Campinas Campinas Diego Della Valle Anthony Giddens Andreas Görgen John Grahl Ewa Karwowski Hannes Swoboda Antonio Tajani Dimitris Marita Ulvskog John Zysman President & CEO British Sociologist Siemens Energy British Academic Researcher at Austrian Member European Tsarouhas Swedish Member Professor of Political of Tod’s CEO for South West & Professor at SOAS – University of the European Commissioner Assistant Professor of of the European Science at the University Europe Middlesex University of London Parliament & President for Industry and International Parliament & Vice of California Berkeley London of the S&D Group Entrepreneurship Relations at Bilkent President of University the S&D Group 6 QUERIES — Autumn 2013 QUERIES — Autumn 2013 7 CURRENTLY IN NEWSSTANDS NEW FORMULA THE MAGAZINE OF GERMAN AND FRENCH-SPEAKING EUROPE INPUT SPECIAL OFFER 29€ ANNUAL SUBSCRIPTION MY VIEW ONES TO WATCH ONES TO WATCH Claude Onesta Emma Reynolds Joseph Muscat P. 10 P. 12 P. 16 ANALYSIS COLUMN VISION Eneko Landaburu Susanna Camusso Elaine McCrate P. 20 P. 23 P. 24 MY EUROPE JE SUIS EUROPÉEN, JE LIS PARISBERLIN Michelle Bachelet P. 28 LE MAGAZINE DE L’EUROPE GERMANOPHONE ET FRANCOPHONE DAS MAGAZIN DES DEUTSH- UND FRANZÖSISCHSPRACHIGEN EUROPAS WWW.BOUTIQUE-PARISBERLIN.COM QUERIES — Autumn 2013 9 pub PB-2.indd 1 22/10/13 15:21 MY VIEW MY VIEW hat’s it! I promise not to mention sport this time, looking out solely for their own interests and treating other coun- or at least not too much. You will not find any tries as potential adversaries. I take the same approach with my startling revelations from the world of handball team. I remember playing in international matches where we had – I am writing not as a coach but as a committed an overly patriotic mindset. Opponents were considered invaders. EUROPE European.