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by Mirioron
2687 days ago
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>And the same holds for the ex-Soviet economies, too: The ex-Soviet economies that have done best are those that have joined the European Union, which most people especially on the American right would not exactly call a free market paradise. But they did well even before they joined the EU. Arguably they did even better in terms of growth before joining, but it's difficult to fault the EU on this, because the financial crisis will definitely take (some of) the blame. On the topic of China you could also argue that IP theft is what helped China succeed. We'll never know, but that IP issue and them not opening up their markets will probably bite them soon. There's only so much the EU and US are going to take once China becomes even richer. >Also, I would add that the optimal level of state intervention probably also depends a lot on how corruption-free your government is: I definitely agree with this, but I would like to add that I think it's not just strict corruption that's the problem. Heavy lobbying by certain small groups of people (corporations) to the detriment of the general population also plays a role in this. The government officials don't have to be corrupt for this to have a negative impact on regulations. |
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