PHYSICS 102 Lecture Notes - Lecture 20: Path Dependence, Hard Currency, Free-Trade Zone
Document Summary
What we know (possibly) ain"t so: the principles from the washington consensus remain at the heart of conventional understanding of a desirable policy framework for economic growth. China and india: both transformed their attitudes toward markets and private enterprises during this period. India deregulated its policy regime slowly and undertook little privatization: their policy frameworks show little resemblance with the washington consensus, china did not adopt private property rights. Latin america: made most effort to implement washington consensus and had more liberalization, deregulation and privatization than asian countries. Table 1. 2 east asian anomalies: the mainstream ideal vs. east asian patterns. Institutions china employed to fuel growth: china relied on unusual, nonstandard institutions, these unorthodox institutions worked because they produced unorthodox results, it is hard to argue that more standard arrangements would have done better. Table 1. 5 to 1. 7: universal principles of sound economic management. Countries that adhere to these no matter how unorthodox have done well.
