The Key Ideas

#33 Set out a national intention to rebalance the economy via an industrial policy

The Scottish Government should create an industrial policy for Scotland, at the heart of which should be a commitment to direct intervention to stimulate Scottish industries which the market alone has failed to adequately develop.

The primary aims are to rebalance the economy: away from a routine service sector to high-value-added service and manufacturing; away from extremes in pay between top and bottom to greater pay equality; away from male and female experiences of work to a gender-desegregated labour market; away from profit-extraction to high-value productivity; away from short-term speculation to long-term investment. This should be done by rejecting the assumption that a 'let them do as they please' approach will deliver this. There must be collective intervention and we must recognise that we need effective action across all the relevant policy behaviours. That means all partners must be actively engaged: enterprises, trade unions, national government, local government, government agencies, and communities. It is this mutual model which has made the Nordic and German economies so effective. And in part, that is because they take both a national and a sector-level approach.