I don't really disagree. You need, sorry, effective capitalism and a legal structure underneath the policy but that doesn't replace entrepreneurship and broader cultural norms.

The problem is that industrial policy seems to be incompatible with effective capitalism and universal rule of law to some extent.

It's not very clear (at least to me) how and why. But it never seems to be a positive thing after some point, instead, it seems to have very negative impacts on more developed countries.

> It's not very clear (at least to me) how and why

It's good at the initial stages and unproductive later on. The problem is that when you need to remove it is also when its recipients are most powerful.

There's probably reasonable disagreement on the extent of anti-trust enforcement etc. in developed economies. We may see a case study in the coming years.

Of course, China has also been a very different animal politically. There's also the whole demographic equation which factors into Japan, China, and (at least eventually) the US.