Unlike market-based approaches, interventionist supply-side policies involve direct government action to enhance productive capacity.
Note
Interventionist policies are based on the view that markets alone cannot achieve optimal economic outcomes.
Education and training
- Government-funded education programs increase labour force skill levels and productivity.
- Vocational training schemes help match worker skills with industry demands.
- Retraining programs assist structurally unemployed workers in acquiring new skills.
- Educational subsidies enable broader access to skills and development opportunities.
Example
Germany's dual education system combines classroom learning with workplace apprenticeships to develop a highly skilled workforce.
Improving quality, quantity and access to health care
- Public healthcare systems ensure workers maintain good health and productivity.
- Universal healthcare access reduces time lost to illness and improves labor quality.
- Preventive healthcare programs enhance long-term workforce productivity.
- Mental health services support sustained workforce participation.
Example
The UK's National Health Service demonstrates how universal healthcare access supports workforce productivity through preventive care and early intervention.
