onsdag den 21. maj 2008

Rodrik on foodprise crisis: Don't criticize liberalization 15 years ago!

The case is that some countries liberalized their foodproducing sector some 15-20 years ago. Demanded by the World Bank when supplying loans. This led to a decrease in the uncompetitive agrarian sector and thus rising food imports. And the costs of this is rising today!

This has led to the conclusion from some that if no liberalization had taken place, they would be better of today. This is not the case as Rodrik explains.#

I really, really agree with him.

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