The political economy of utility regulation and the Labour government

The "Third Way" and the "New Economy" have become political and media buzzwords in recent years. The Third Way has gained particular prominence in the UK and Germany following the elections of the Blair and Schröder governments. It defines its political space between free-market liberalism and old-fashioned leftism, relying more on a supply side policy "with a human face" which seeks to improve employability and inclusion. The "New Economy" paradigm credits mainly technological advances in computers, telecommunications and media for raising living standards, and has been identified with the long boom in the US based upon more competition, lower inflation and more employment chances. However, much of the substance behind these concepts remains unclear and open to criticism. This book, by drawing upon the expertise of German and British economists and political scientists, attempts to provide a theoretically grounded evaluation of these concepts, locating them within the current debate on governance structures, and, significantly, examines the extent to which they accurately describe actual political and economic developments. The result is a wide-ranging edition, which includes analysis of the New Economy in the United States, Germany and the UK and the implications of the Third Way for employment policy and labour relations.