Competition and Economic Growth: The Lessons of East Asia

  • Wolfgang Kasper
Conference paper
Part of the A Publication of the Egon-Sohmen-Foundation book series (EGON-SOHMEN)


In a celebrated article in the American Economic Review, Egon Sohmen (1959) made the case — in the then unfashionable spirit of what he called “19th century economic liberalism” — that the remarkable West German growth record during the 1950s 1 was mainly the result of competition within a framework of tight monetary discipline. This earned him hostile comments that pointed to more proximate but quantifiable “causes” of growth, such as a growing labor force or high capital formation. In the subsequent exchange with his critics, he managed to dismiss their criticism convincingly with the riposte asking what explained the growth of labor or capital inputs in the first place — if not competitiveness and monetary stability!


Transportation Cost American Economic Review East Asian Country Economic Order Market Niche 
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© Springer-Verlag Berlin · Heidelberg 1992

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  • Wolfgang Kasper

There are no affiliations available

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