Samstag, 14. Februar 2009

Get Access to Free Market = Get Rich

What liberal politics has assumed for centuries and what essayists have debated controversly has been studied time and again. Now, a fine piece of research by Hou (2009) finds new evidence while using cutting-edge econoetric research tools to provide evidence that increasing access to domestic and international markets boosts household incomes.
Strangely, given the current economic downturn, some policymakers seem to forget this simple fact and seem to prefer to turn to nationalistic/protectionistic measures to cure and instead of opening up economies close them... if they really want to help households, and in general the whole economy, to recover, then research suggests that we should open up and enhance market access to the biggest extent possible!

Hou, Z. (2009). "Market Access and Household Consumption: Evidence from Rural China", under revision for The Review of Economics and Statistics; PhD thesis, George Washington University.
http://home.gwu.edu/~houz/research.htm

Keine Kommentare: