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24 - Some Summing Up and Concluding Observations

from Part III - The Period after the 1970s

Published online by Cambridge University Press:  07 December 2023

Vito Tanzi
Affiliation:
International Institute of Public Finance (IIPF), Germany
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Summary

There are still may supporters of laissez faire and of a market that is supposed to operate efficiently and smoothly if left alone. That free market is supposed to “lift all boats” and leave everyone better off and free. However, reality indicates otherwise. Abuses of the market are common, corruption exists, rent seeking is easily observed, and differences between rich and poor grow, leading to resentment and to populist policies. It would help if the market fundamentalists were more explicit about the role that they would expect the government to play. Socialists and leftists do not seem to have any doubts. Some role is obviously needed for the government, and that role cannot remain constant over time. It is not sufficient to keep repeating that the government should stay out of the market.

Type
Chapter
Information
Monitoring the State or the Market
From Laissez Faire to Market Fundamentalism
, pp. 193 - 200
Publisher: Cambridge University Press
Print publication year: 2023

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