Europe and the Information Society: Problems and Challenges for Supranational1 Intervention

This article proposes that European intervention for the enhancement of the information society is legitimate and appropriate but, despite recent improvements, very difficult to design and implement. Intervention has taken three forms: 1. European-wide deregulation and liberalization of public procurement, to stimulate competition and specialization; 2. R&;D incentives, which have improved European capabilities and given academic research a chance to take off in poorer regions but which have also favored oligopolies and increased barriers to entry; and 3. Incentives offered to the less favored European regions to improve their infrastructure and to adopt strategies that would facilitate the stimulation of demand. Despite their ambitions to help the Union as a whole rapidly close the gap with the U.S. or level internal imbalances, these interventions appear insufficient as yet to do so. But even if policy results are not (yet?) visible, these interventions have put a process in motion that acts in parallel with the market forces of globalization. Although European ambitions are limited by jurisdiction due to the subsidiarity principle imposing action at the lowest possible level, supranational policies demonstrate interesting features of development policies and suggest some innovative schemes of intervention for less favored regions.