Hacker Newsnew | comments | show | ask | jobs | submit login

But, China has a centrally planned command economy built around subsidies, wholesale-rate or zero-interest loans and development grants, and nationalization. Of course, there is not one country on earth that has an economic trajectory as high. They are experiencing the largest uplift from abject agrarian subsistence to working- and middle-class job creation in the history of civilization. Obviously they do not have the raw materials within their borders to stem that insatiable hunger for growth, thus their foray into resource-rich Africa (and, btw, directly contributing to the relatively quick rise of the African middle-class, as well).

Heck the US during and after WWII was centrally planned, and it caused the largest economic growth the world has ever seen, until China's in the 1990s to now. Actually, one needn't look any further than the Marshall Plan to see that government intervention and fiscal stimulus can propel countries to prosperity worldwide.

Without a larger central body taking a macroeconomic view and actually being the "invisible hand" that Adam Smith relegated to the self-regulating market, Europe probably would have never recovered from either of the world wars and the US possibly wouldn't have seen the growth it did post-WWII.




Guidelines | FAQ | Support | API | Security | Lists | Bookmarklet | DMCA | Apply to YC | Contact

Search: