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North Dakota does not need an industrial policy. There is nobody left. They have all gone somewhere else.

You cannot do that when you are crossing national frontiers. Therefore, the question of looking at this in terms of creating opportunities for the people who stay here becomes quite important. We are not going to have mobility of people in any time in the foreseeable future.

MARK DADD: Let us bear in mind one of the comments I made when we first started this session, that people in different countries have very different cultural traditions and simply view policy issues differently. One way of looking at policy issues in one part of the world is not necessarily wrong simply because it differs from ours. To move forward positively over the next couple of days, we need to keep this uppermost in our minds.

Let me give you one quick example. I was working in London at the time when the first discussions took place about the appropriateness of having a fixed exchange rate regime in the European Community. There were intense discussions about whether the United Kingdom should be part of such an arrangement. The United Kingdom would have to give up some of its independence to determine economic policy and particularly monetary policy in favor of a common policy. The question was, would the United Kingdom make the same policy trade-off between growth rates and inflation that, say, Germany would? My conclusion was that Germany, the country potentially with the most influence over a common European monetary system, would have a different trade-off because of their historical experiences with rapid inflation in the 1930s, which would be politically unacceptable in the United Kingdom.

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