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Economics of Europe

The Effects of Post-Industrialism On the Political Economy of Western Europe

The Decline of Corporatist Bargaining

The sustained, high economic growth in Western Europe during the post-war period until 1973 led to dramatic changes in the
region's political economy. As advances in transportation and communication extended the reach of international trade into new
areas of the world, as technological advances allowed establishment of manufacturing facilities overseas, and as European real
wages climbed to unprecedented heights, the industrial base that had served as the foundation for rapid Western European growth
in the 1950's and 1960's increasingly moved to Western Europe's poorer neighbors. As the industrial base moved, so did the jobs
of a large quantity of unskilled manufacturing workers who populated the assembly lines.

In recent years, the liberalization of international trade has clearly demonstrated that European industry can no longer compete in
traditional, large-scale industrial sectors. European successes have increasingly come from specialized, high value-added industry
and from intelligent, flexible companies able to shift production quickly to capitalize on movements in world demand.

The net result of these changes has been a transition to a post-industrial society, where the stable economic order of mass
employment in large-scale industry has given way to mass unemployment and a breakdown of the political and social... [to view the full essay now, purchase below]

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