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Toward a discursive approach to growth models: social blocs in the politics of digital transformation

Abstract The growth models perspective analyzes the role of social blocs in crafting countries’ economic policies, but its treatment of business power as purely structural prevents it from addressing an important question in the politics of digital transformation: How have new sectors with miniscule economic footprints been able to influence economic policy? This article explores how tech and venture capital successfully lobbied for financial liberalization at the beginning of digital transformation in the United States. The article argues that explaining the role of social blocs in digital transformation requires incorporating discourse analysis and develops a conceptual framework around three causal mechanisms in the dynamics of social blocs: formation, influence, and endurance. This framework contributes to theory development in the growth models perspective and improves our understanding of the character of business power in digital transformation.