ABSTRACT
Confronted with the pressures and insecurities experienced by today’s labour force, what, if anything, should our governments be doing? Should they embrace the philosophy of laissez-faire and put their faith in the auto-corrective powers of the free market or should they strengthen the laws and institutions that regulate the markets for labour and capital? The laissez-faire response is certainly the most popular, particularly among British and American politicians. But, as this chapter will illustrate, the experience of some of the world’s most competitive economies suggests that the regulatory protection of social rights is of vital importance not just to the health of the individual worker but to the effective operation of the economy as a whole.
