ken specific action in each of the areas which define the term industrial policy. Indeed, Robert Reich (1983) stated flatly that the United States does have an industrial policy.
In the context of tax incentives to support either invest ment or exports, the United States, until the passage of the tax reform package in the last half of 1986, had a specific tax incentive policy in the investment tax credit (Eisner, 1982). The investment tax credit is now absent from American 4industrialpolicy. Its absence will likely be temporary, how ever, as it has been a part of American industrial policy off and on mostly on for more that two decades.
The Reagan Administration declared that it is an implac able foe of subsidies to firms or industries (Yeutter, 1986). In the fall of 1986, however, the Reagan Administration announced a policy of massive agricultural subsidies to support the export of American grains. In the domestic sector of the economy, the federal government subsidizes almost all American b
...