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LIBERAL CAPITALISM VERSUS STATE CAPITALISM

Cristina Elena Paguba

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Abstract

After the 2008 financial crises, people`s confidence in liberal capitalism started to fall. In this context, an alternative and vigorous system emerged, state capitalism. There are different types of state capitalism, which extend from the autocratic model of China to a more liberal model of Brazil. In this paper I have presented the advantages and shortcomings of China`s state capitalism, a country that has become the second world power. The future political system seems to be the one that will find the right balance between the economic institutions that generate wealth and the political institutions that regulate and redistribute it.

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What this paper is about

After the 2008 financial crises, people`s confidence in liberal capitalism started to fall. In this context, an alternative and vigorous system emerged, state capitalism. There are different types of state capitalism, which extend from the autocratic model of China to a more liberal model of Brazil. In this paper I have presented the advantages and shortcomings of China`s state capitalism, a country that has become the second world power. The future political system seems to be the one that will find the right balance between the economic institutions that generate wealth and the political institutions that regulate and redistribute it.

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Available abstract

After the 2008 financial crises, people`s confidence in liberal capitalism started to fall. In this context, an alternative and vigorous system emerged, state capitalism. There are different types of state capitalism, which extend from the autocratic model of China to a more liberal model of Brazil. In this paper I have presented the advantages and shortcomings of China`s state capitalism, a country that has become the second world power. The future political system seems to be the one that will find the right balance between the economic institutions that generate wealth and the political institutions that regulate and redistribute it.

Key concepts: Capitalism, State capitalism, Autocracy, China, State (computer science), Context (archaeology), Politics, Economic system

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