Rethinking Comparative Political Economy

Growth Models and Distributive Dynamics. First Scholar in Residence Lecture at Max Planck Institute for the Study of Societies

 

Based on joint work with Jonas Pontusson, this lecture introduces the growth model perspective and distinguishes it from other paradigms in comparative political economy, particularly the “Varieties of Capitalism” one. With growth models, the role of aggregate demand – its size and composition – returns to center stage and is linked to distributional shifts. The distinction between consumption- and export-led growth is developed, and conditions for reconciling both types of growth, at least temporarily, are identified. Furthermore, the pattern of co-evolution of growth models and inequality patterns is explored.