Free market economies

The year 2019 started out with 600 million people living in poverty, the lowest number ever recorded. This trend is expected to continue with 50 million leaving the poverty roles every year. The main reason for this decline is the institution of the free market economy throughout the world especially in Asia. This is best illustrated with China which introduced the free market economy in 1980. This growth has led to a substantial increase in real living standards and a marked decline in poverty. Between 1981 and 2008, the proportion of China's population living on less than $1.25/day is estimated to have fallen from 85% to 13.1%, meaning that roughly 600 million people were taken out of poverty. Meanwhile countries like North Korea, Cuba and Venezuela which have chosen government controlled economies have lagged behind.