Category Archives: Global Issues

Friedman on New Book: Why Nations Fail?

“Our analysis,” says Acemoglu, “is that China is experiencing growth under extractive institutions — under the authoritarian grip of the Communist Party, which has been able to monopolize power and mobilize resources at a scale that has allowed for a burst of economic growth starting from a very low base,” but it’s not sustainable because it doesn’t foster the degree of “creative destruction” that is so vital for innovation and higher incomes.

“Sustained economic growth requires innovation,” the authors write, “and innovation cannot be decoupled from creative destruction, which replaces the old with the new in the economic realm and also destabilizes established power relations in politics.”

extractive political institutions


extractive political institutions 

creative destruction


What is an illiberal democracy?

The world is changing. But is the world changing for the better? This is really an arguable question. But I think as a formidable trend, democratic ideas and practices are sweeping through the globe, embraced by all people who really desire human dignity and want a more civilized human life. Unfortunately, dictatorship or the authoritarian regimes are dying hard. They are trying and will try all means possible to keep them in power to safeguard their interests. Russia is a typical example of illiberal democracy — I ‘d like to quote Wikipedia: An illiberal democracy, also called a pseudo democracypartial democracylow intensity democracyempty democracyhybrid regime or delegative democracy, is a governing system in which, although elections take place, citizens are cut off from knowledge about the activities of those who exercise real power because of the lack of civil liberties. It is not an ‘open society‘. There are many countries “that are categorized as neither “free” nor “ not free,” but as “probably free,” falling somewhere between democratic and nondemocratic regimes”.

Quite many people think the Arab Spring might lead to the emergence of more illiberal democracies. We still have to fight against such kind of fake democracy in a long run.