Thursday, November 5, 2020

Review of The End of the Free Market: Who Wins the War Between States and Corporations? by Ian Bremmer

This review was written by Eugene Kernes

Book can be found in:
Genre = Economics
Intriguing Connections = Capitalism, Socialism, their Alternatives and Critiques

Elaborate Description

A warning to the rights of individual that state-capitalism threatens free market economics. State run companies, or companies that the government has a majority stake in, has special privileges that impede efficient use of resources. Reduction of competition and little feedback from public scrutiny. The resources governments obtain via state run companies usually have an incentive to be maleficent as the politician's way of getting more power. State owned companies are often provided with more privileges than other companies with additional barrier to potential competitors. There are many tools that a government operating state-capitalism has, the tools can be sovereign wealth funds and control of industries, the tool can be used for proper or inefficient use. The book is not difficult to read and stress on different property rights allocation is appropriate. Only a short analysis is done about various nations. An issue with the book is that the examples provided are usually discussing the energy sector. The biggest logical fallacy is to suppose that anything the U.S. starts to lack or becomes threatened, whether competitive edge, reserve currency, or relative military power, that it is bad for the world. Free market economics works because it creates the best allocation of resources, it does not matter if it is the U.S. or China or Russia that would hold the competitive edge over a particular resource.

Book Details

Edition ISBN:  9781591843016
Pages to read:   200
Publication:     2010
1st Edition:      2010
Format:            Paperback

Ratings out of 5:
Readability    5
Content          5
Overall           5