Bringing the state back in: Populism and economic nationalism in Europe

Abstract Objective Economic nationalism has been on the rise for the past two decades. Scholars have also noted the shift away from globalization and deregulation toward a more prominent role of the state in the economy. I explore the role played by populist governments in the increased adoption of economic nationalism and in this return of the state. I argue that the populist worldview lends itself naturally to a consolidation of power—not just political, but also economic. This consolidation of economic power results in a more prominent state even in countries where the populist regime is a right‐leaning one. Methods I test this argument quantitatively by analyzing governments in 30 European countries since 1990, levels of state ownership in the economy, and a battery of economic and political controls. Results The election of a populist government is associated with a strengthening of state ownership in the economy. Conclusion I conclude with a discussion of the prospects for the future study of this populist economic agenda both domestically and internationally.