The Wall Street Journal’s Editorial Board explains the flaws in China’s industrial policy.
- A new report from National Bureau of Economic Research finds that China’s government subsidies for business have little to no positive effect on the economy, and sometimes stifle economic production.
- The report also found that China’s subsidies are vulnerable to special interest politicking and fail to support emerging businesses.
- American lawmakers can learn from this report by supporting policies that allow the private sector, not the government, to pick winners and losers.
Read the full article here.