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This article challenges the widely held view that once Britain has tackled the budget deficit it can return to 'business as usual'. Extensive research in several countries including China and India suggests that this is not only wishful thinking but dangerously misguided, especially in a context of high youth unemployment. This article points to a global auction for jobs in which an elite will continue to be handsomely rewarded while many others with a college or university education find themselves in a competition for cut-priced brainpower. There is a stark policy message that the British government will need to become a lot smarter if it is to respond to the formidable challenges of international competition, technological change, and what we call digital Taylorism. It must begin by addressing the trained incapacity of the state to develop the industrial policies that will be required to reduce unemployment and to rebuild a shared prosperity.
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