This 1996 edition of Britain's Economic Problem opens with a substantial new chapter, 'Bacon and Eltis after 20 Years', in which the authors assess the impact of the policies of successive Conservative governments to bring British public expenditure under control. They also develop their theory and apply it to Sweden which has experienced the greatest increase in public expenditure of any European economy. This edition includes a complete reprint of the 1978 second edition of Britain's Economic Problem: Too Few Producers which Harry G. Johnson described as 'interesting, both for its...

This text shows how the transformation of Britain's economic performance is in contrast to Europe's which has suffered from rising unemployment and a lack of exploitation of the IT revolution. It is therefore argued that Europe's failures will undermine the EMU and Britain should keep out of it.