Earlier quoted context omitted.
> - Using $1.90 as the baseline to beat is too low for what we would consider as being out of poverty. It's called absolute poverty for a reason. Just because you're above the absolute poverty threshold doesn't mean you're not poor anymore. It just means that you can minimally survive. Whether you're poor or not depends on the society around you, because poverty determines how well you can participate in society. He…
> Yeah, it was just a coincidence that when China stated opening up their markets that their quality of life improved immensely and hundreds of millions are lifted out of extreme poverty. When you're talking about economic success in general then you can't forget the ex-Soviet states either. The ones that embraced free markets the most recovered the most. China is interesting because you can really use it both ways:…
But they did well even before they joined the EU. Arguably they did even better in terms of growth before joining, but it's difficult to fault the EU on this, because the financial crisis will definitely take (some of) the blame.
On the topic of China you could also argue that IP theft is what helped China succeed. We'll never know, but that IP issue and them not opening up their markets will probably bite them soon. There's only so much the EU and US are going to take once China becomes even richer.
>Also, I would add that the optimal level of state intervention probably also depends a lot on how corruption-free your government is:
I definitely agree with this, but I would like to add that I think it's not just strict corruption that's the problem. Heavy lobbying by certain small groups of people (corporations) to the detriment of the general population also plays a role in this. The government officials don't have to be corrupt for this to have a negative impact on regulations.