In a recent paper published by the Heritage Foundation, frequent AIER contributor Alexander William Salter argues that industrial policy, of the sort that is advocated by Oren Cass and other of today’s national conservatives, is not properly subject to the criticism that this policy will fail because it cannot solve “the knowledge problem.” This policy might fail for other reasons — most prominently, the inevitable noxious influence of interest-group politics — but it will not fail because of an inability on the part of government officials to access enough knowledge to make the policy a success.

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