Autocratic or a democratic form of government, which is better? Morgan Stanley has noted that since 1950, there have been 43 cases in which an economy grew at an average annual rate of 7% or more for a full decade. 35 of those booms took place in an autocratic country. China, for example, is one of the standouts. GDP growth averaged 8.1% between 1952-2018. Some 770 million living in rural China have been raised from poverty since 1978.However, every large economy that has seen average per capita income grow to more than $10,000 is a democracy. China is trying to break that barrier, and they would be the first one. But their growth is slowing and they are having to put more stimulus in the economy to keep it going. Their debt to GDP ratio is now beyond 300%, which could eventually spell trouble as their economy ages more quickly than the United States. Hong Kong’s per capita, interestingly enough is $39,000, but China is not sure what to do with the protests that are ongoing there. The crackdown will eventually come and where will that leave Hong Kong and China for that matter? It can’t be hidden like their repression against the Muslims in Uighur.
Autocratic or a democratic form of government, which is better?
