Free market

The difference between North and South Korea is often used to illustrate the power of the free market. The oft quoted story about flying over the two countries at night where the south is lit up like a Christmas tree and the north is dark makes the point in an easily understood way. Another nearby situation also shows the power of the free market. After WW 2 when China split the followers of one group were chased out of the country and settled on the island of Taiwan. The free market flourished and today they have $35,000 per capita GDP. Meanwhile on the main land under the communist rule of Mao things were not so good. GDP remained less than $1,000 until the private sector was opened for business in 1978 and by 1990 the GDP began to rise to the $7,000 it is today. China still maintains a communist government but they have allowed private business for profit to expand. When China allowed for the free market I was sure that communism would fall. I felt that once people tasted economic freedom they would want political freedom but that has yet to happen. I underestimated the power of the central government to control the lives of most people. They are being kept in check by a strong central leadership and the people are fearful of the government.