The increase in economic growth and development purpose in seeking all countries to achieve, because that effect in reducing rates of poverty and underdevelopment in the world where the economic problem (scarcity) is that control the fates of many individuals in addition to the unequal distribution of wealth and income.
The literature of Smith and Friedman and Hayek and other economists to the importance and the role of economic freedom in economic growth. In «The Wealth of Nations», Adam Smith was looking for the causes of economic growth in terms of free markets and the protection of property rights and minimal government intervention in the economy leads to prosperity and economic growth. Smith attributed the growth to the case of competition policy, where the invisible hand mechanism, individuals act according to their own interests and the total of these interests is the public interest.
While Friedman argues that the freedoms (economic and political) themselves mutually reinforcing, expansion in political freedom, democracy any more, accelerating economic rights that lead thus to stimulate growth. While wondering Amartya Sen: Is a relatively authoritarian regime such as South Korea and Singapore in the era of Lee and China after the reform, achieved economic growth rates faster than the less authoritarian countries (such as India, Costa Rica and Jamaica). Sen says that we can not take in the fact that high economic growth in China or South Korea in Asia as proof conclusive that the authoritarian system of government is successful in promoting economic growth. The North emphasizes that economic growth can occur in the short term, with a dictatorial regimes, but economic growth in the long term requires the development of the rule of law and protection of civil liberties and political rights.
The theory of political change in Huntington's restriction of the role of democracy in economic development, the relationship between political development and political democracy makes growth first, democracy second. While Lipset across six that democracy can only be achieved after the achievement of economic performance, any requirement that development is the foundation of democracy. This brief review of some of the intellectual contributions of the economists highlighting the fundamental problems of the bilateral practice of democracy, economic freedom and their relationship to economic development, how economic freedom will be achieved in a dictatorship where there are no adequate safeguards for the effective application of economic freedom? How will development in the absence of democracy?
The most important feature of the system of dictatorship no matter how many forms and names are the absolute authority of a person or group of persons, and here lies the problem of the dictatorial regime, which even established special institutions of economic freedom the system is based on the looting would not respect its obligations regarding economic freedom, where corruption and theft Anuanan for dictatorships over history. As well as lack of respect for private property rights, all dedicated to the service economy, the dictatorial regime and his desires, which do not end where she was pregnant the last decades many of the tragedies that have taken place in developing Arab countries, especially in the Middle East.
Returning to the experiences of some countries that have succeeded the dictatorship, in conjunction with economic freedom, such as South Korea and some countries in the Near East after World War II, the strong economic growth that has occurred in these countries is due more to the group of Asian values that sanctify work and dictatorship good (somewhat) which sets targets for the nation more than one service a group of people, and this rare condition is not measured in the empirical research, while I went dictatorships to come in the third world to wage wars and persecution of the people and the confiscation of civil liberties in order to stay in power despite the price harsh paid by the peoples of the without reaching the level that I dreamed of achieving development and prosperity.
Therefore, the belief that economic freedom may exist in systems dictatorship, the argument is far from logical scientific approach which assumes a basis for free institutions do not only live in a healthy atmosphere far from the corruption and the confiscation of freedoms, including economic freedom. Systems are dictatorships facilitate confiscation of property rights and forced labor and difficult market access, in addition to the possibility of a political uprisings and military coups, and thus all the freedoms subject to confiscation.
The role of economic freedom (which includes maintenance and protection of property rights, competition and freedom of access to markets) in the positive impact on economic growth requires the availability of other elements that are complementary to ensure this freedom from the distortions that adversely affect the performance of economic freedom, the most important elements of the rule of law which prevents the occurrence of malformations such as corruption and theft. And ensure the rule of law of the first tasks of a democracy where institutions like the elected legislature and a free press and the devolution of power to ensure the sovereignty of the law and that can only be achieved in the presence of democracy.
And the exercise of economic freedom in the light of democracy that protects this kind of freedom makes sense, where you can not imagine a democracy without economic freedom, Both freedoms, political, economic, Thvzan economic growth in the form of an integral, and the expansion of any of them mean expansion in the other.
Returning to the hypothesis of Lipset Lipset, who stipulated that a development to be launched to democracy, this hypothesis neglected the motivating factors for development, which arise only in the light of democracy, such as promoting economic freedom and individual property rights and increase the ability of individuals to innovate and organization, savings and investment.
A number of researchers (Goodin, Goodell and Powelson) that the economic pluralism is essential for economic growth, Valmttalb necessary for economic growth is a requirement that individuals be free to increase and the accumulation of resources through markets, and only under the condition of economic pluralism emerges innovative technology and competing. It is necessary to the other is political pluralism, critical to the survival and vitality of economic pluralism. Which relies on the recent open competition and predictability, only when the system is organized by the political rules of democracy, that is, the individuals and institutions as guards against the dominance of key government to create conditions conducive to competition.
Not achieved economic development under dictatorships, both which I found economic freedom is incomplete or that there are no such freedom at all like the system of the socialist countries, which collapsed in the early nineties of the twentieth century. Vmcolh Friedman that the freedoms (economic and political) mutually reinforcing themselves are correct, and the absence of one makes the distorted and incomplete development in the long term.
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