Conrad Bastable Warns Against Self-Inflicted Economic Harm in Policy-Making

Conrad Bastable, a prominent finance executive and essayist, recently issued a stark warning via social media regarding the potential for self-inflicted economic damage when ideological stances overshadow pragmatic policy-making. His tweet, interpreted within the context of his recent essay "Forsaking Industrialism," critiques approaches that may inadvertently harm a nation's economic well-being under the guise of independence or principle.

"Pls don't actively hurt your baby either just to make a point about how not-owned-by-doctors you are," Bastable stated in the tweet. "There is a right way to do things. It's not stressful or harmful. It builds trust."

This metaphorical caution appears to target governmental or institutional policies that, in an effort to assert autonomy from established economic or industrial wisdom, implement measures that ultimately undermine domestic industry and prosperity. Bastable's work frequently highlights the pitfalls of such strategies, particularly in the European context, where he argues stringent regulations contribute to deindustrialization.

His essay, "Forsaking Industrialism: The Most Expensive Thing You Didn’t Buy," posits that while Europe's regulatory environment aims for high standards, its cumulative effect can increase costs and reduce flexibility for businesses. This, he argues, has inadvertently accelerated the continent's deindustrialization and, paradoxically, fueled the industrial growth of external economies. The "baby" in his tweet can be seen as a nation's industrial base or overall economy, which risks being "hurt" by policies that fail to foster a competitive and resilient manufacturing sector.

The "right way to do things" that Bastable advocates implies a pragmatic approach to industrial policy that prioritizes sustainable growth, job creation, and strategic autonomy. This involves fostering innovation, supporting domestic manufacturing, and building trust through policies that are not "stressful or harmful" to businesses. European industrial policy documents themselves acknowledge challenges such as intense global competition, high energy costs, and regulatory burdens.

Bastable's commentary underscores a critical debate in global economics: how nations can balance regulatory aspirations and ideological principles with the practical necessities of maintaining a robust and competitive industrial base. His tweet serves as a concise, yet potent, reminder of the potential consequences when this balance is not achieved.