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Markets Alone Make No Development

In: Fighting Global Poverty

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  • Basil Oberholzer

    (University of Bern)

Abstract

Based on the macroeconomic principles introduced in the previous chapter, we can now better understand why markets alone are not able to increase low incomes and low productivity in developing countries. To improve growth conditions, active economic policies with public investment are needed such that the private sector is crowded in and becomes more active. This chapter explains why the arguments of the economic mainstream against such policies are analytically misguided.

Suggested Citation

  • Basil Oberholzer, 2022. "Markets Alone Make No Development," SpringerBriefs in Economics, in: Fighting Global Poverty, chapter 0, pages 27-37, Springer.
    • Handle: RePEc:spr:spbchp:978-3-658-36631-5_5
    DOI: 10.1007/978-3-658-36631-5_5
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