Having mapped out in the previous chapter, New Labour’s often contradictory and even ‘politically-convenient’ understanding of globalisation, chapter 3 offers analysis of three key areas of domestic policy that Gordon Brown would later transpose to the realm of international development: (i) macroeconomic policy, (ii) business, and (iii) welfare. Since, according to Brown at least, globalisation had resulted in a blurring of the previously distinct spheres of domestic and foreign policy, it made sense for those strategies and policy decisions designed for consumption at home to be transposed abroad. The focus of this chapter is the design of these three areas of domestic policy; the unmistakeable imprint of Brown in these areas and their place in building of New Labour’s political economy. Strikingly, Brown’s hand in these policies and the themes that underpinned them would again reappear in the international development policies explored in much greater detail later in the book.
Institutional Design, Macroeconomic Policy Coordination and Implications for the Financial Sector in the UK