New growth regimes, but still institutional diversity

Whereas the American case may hint that product and labour market deregulation, venture capital and NASDAQ are necessary for the success of technologically led growth, international comparison suggests the coexistence of at least three successful configurations. Deregulated economies explore a science-pushed innovation, along with external labour flexibility and significant inequality in terms of competences. However, social democratic countries develop a cooperative approach to the knowledge-based economy: rather homogeneous educational level, lifelong learning, negotiation by social partners of the consequence of innovation and collectively organized labour mobility. There is a third configuration for some catching-up economies that use information technology as a method of leapfrogging: labour markets remain largely institutionalized and regulated, without exerting adverse impact upon macroeconomic performance.