neoliberalism in developing countries

/Parent 1 0 R /TT1 109 0 R endobj They see a linkage between the growth of neo-liberal rhetoric and policy all over the world and change in the nature of capitalism. /MediaBox [ 0 0 595.22000 842 ] /Resources 43 0 R /Rotate 0 endobj 12 0 obj It questions the applicability of neoliberal reforms in developing societies, through an A;zwkl4?=@!zLvC nu;vB' ,5a=u\')"Z2N?L.CF2J?80';s-!2d /Tabs /S In the case of British Rail, the privatisation was overseen by her successor, fellow Conservative Party leader and Prime Minister, John Major. Follow Jade on Twitter. 18 0 obj His triangular diplomacy refers to a process whereby states increasingly have to negotiate with firms, which in turn negotiate with other firms before an agreement is reached. However, this definition is not universally accepted because countries with very huge differences, for example, say Malawi and China, are categorized together as developing yet they are highly differentiated. /Resources 84 0 R /Type /Page /ProcSet [ /PDF /Text ] f d6X.u/N*DIFF/`1KL[97FFWlsz8/"#v6d`_(/MGm#\ Eq'\F~94S?r)ZyE,>s?#+w{1uU;y ;_n-S;IpX2XL([R1D@p [XPQR[|^uByY`YS9m5'/ m, /Parent 1 0 R /Parent 1 0 R Neo-liberalism appeared in the 1980s as an antithesis to Keynesianism and socialism. /Rotate 0 << Minutes of Young Fabian Executive Meetings, Young Fabians Executive Manifesto 2021-22, Technology, Defence, and Cybersecurity Network, Code of Conduct for Young Fabians Officers, YF: Young Labour nomination process code of conduct 2022, YF Exec election 2022: Timeline and Code of Practice, cutting of the top income tax from 83% to 60% (later to 40%). endobj American liberalism could be called a constructed doctrine, while British liberalism was rooted in British history and society and, therefore, spontaneous. hbbd```b``f! /Rotate 0 /Encoding 38 0 R Responding to debt crises in the countries of the Third World, the Bretton Woods institutions offer assistance on the conditionalitys which make it obligatory for the borrowing countries to meet repayments by increasing export earnings, attracting foreign investment and decreasing government spending on social sector such as health and education. Disclaimer 9. The victory of neo-liberalism in the UK and the USA in the 1980s, and its hegemony in the developing world through the SAP of the IMF and the World Bank, and the formation of WTO, Yaghmaian thus argues, constitute the fabric of the emerging regulatory mechanism of global accumulation. However, they also led to deep inequality. endobj /Parent 1 0 R In 1971, the US under President Richard Nixon chose to unilaterally leave the Bretton Woods System and float the dollar. Copyright 2023 Helpful Professor. In 1992 six million children aged five or less died of pneumonia or diarrhea, 23 million people are classified as refugees. 25 0 obj /Resources << << In recent years a number of Latin American countries have abandoned neoliberalism and adopted polices to be suitable to their national interests rather than foreign capital. WebThe research programme Neoliberalism in the Nordics: developing an absent theme intends to develop an understanding of neoliberalism in the Nordic welfare states, and specifically, of the role of the welfare state and a set of political alliances surrounding and including social democracy, not merely as the targets of neoliberal critique but as the Retrieved from https://www.actionaid.org.uk/sites/default/files/doc_lib/farmgate_media_briefing.pdf on 18 Sep 2018, Barrett W (1990) World bullion flows: 1450-1800. The rest of the worlds countries had to subsequently adopt market-based rates for their currencies as well. WebPolitics After Neoliberalism Author: Richard Snyder Publisher: Cambridge University Press ISBN: 9780521790345 Category : Business & Economics Languages : en Pages : 286. One-third of this trade is intrafirm. Subsequently, financial markets were deregulated, thereby enhancing the flow of capital across borders. 9 0 obj /Contents 85 0 R North American Free Trade Agreement (NAFTA), 4. >> In neoliberal ideology, taxing corporations is criticized as their profits go either to the employees as wages (which are already covered by income taxes), to the shareholders as dividends (whose profits are covered by capital gains tax), or to consumers as cheaper prices (taxed by sales taxes). Retrieved from https://www.odi.org/resources/docs/4721.pdf on 24 Aug 2018, Girdner EJ, Siddiqui K (2008) Neoliberal globalization, poverty creation and environmental degradation in developing countries. /Rotate 0 What is beyond doubt is that today in the late 1990s, globalization is a glaring reality encompassing peoples of developed as well as developing countries and affecting almost every aspect of human existence social, economic, political, cultural, environmental, etc. This is further established by data. Web1- The economic crisis. Africa in particular has been almost completely bypassed. Milton Friedman coined the word neoliberal in 1947, but the word never caught on. Right now, there is no significant person, movement, or ideolog >> Your email address will not be published. The programme aims to develop a new research theme around the expressions of neoliberalism in the Northern European periphery, by building a strong team of intellectual, conceptual, political, economic, social and cultural historians working across Sweden, Denmark, and Finland. 5 0 obj /StructParents 4 << >> /Annots 149 0 R He was helped in this by a group of US-trained economists, called the Chicago Boys (as they all came from the University of Chicago). /OP false /Filter /FlateDecode /Type /Encoding /Tabs /S endobj Neoliberalism as lived experience and everyday practice: The making of everymans capitalism4.The transformation of the wage earner in Nordic politics. /CropBox [ 87.12000 246.96000 508.10000 842 ] Klik seorang ahli untuk melihat semua topik yang mereka potensi dan peringkat dunia mereka untuk masing -masing. However, the issues is that corporations often move overseas to the lowest-tax jurisdictions. He is the former editor of the Journal of Learning Development in Higher Education. >> More controversially, the 2010s had seen successive governments raise the cost of university education to students. /CropBox [ 87.12000 246.96000 508.10000 842 ] [20] << endobj About The Helpful Professor /Type /Page /Rotate 0 According to an estimate, Asia and Latin America have had annual export growth rates of around 7 per cent and 5 per cent, respectively, over the last 25 years; but Africa has suffered an average annual decline of 1 per cent, and its share of world merchandise trade has fallen to about 2 per cent from around 6 per cent in the early 1980s. endobj /CropBox [ 0 0 419.58000 595.38000 ] >> (10 Features & Stereotypes), What do Spanish People Look Like? /GS1 36 0 R endobj It also increases competition by forcing local industries to lower their prices to compete with overseas competitors. endobj This was reinforced by the resurgence of neo-liberalism in the USA and UK in the 1980s. These tax rates have continued to decline for decades. The Zambian government pays $150 million to run privatised copper mines privatisation encouraged by the IMF and World Bank- for transnational corporations to invest in, but the government only gets $50 million in tax revenues in return. /CropBox [ 87.12000 246.96000 508.10000 842 ] WebIt is evident that the social and environmental situations in the developing countries have suffered as a result of neoliberalism. /Resources << /CharSet (\057space\057N\057e\057o\057l\057i\057b\057r\057a\057s\057m\057comma\057S\057c\057P\057y\057n\057d\057W\057f\057D\057v\057p\057g\057C\057u\057t\057parenleft\057R\057I\057h\057A\057parenright\057E\057L\057period\057B\057T\057k\057two\057zero\057w\057six\057U\057K\057copyright\057one\057colon\057hyphen\057five\057seven\057four\057three\057nine\057eight) << /Type /Page 27 0 obj /CropBox [ 87.12000 246.96000 508.10000 842 ] Plagiarism Prevention 4. 19 0 obj 15 0 obj /MediaBox [ 0 0 595.22000 842 ] Western countries are not the only ones driving neoliberalism. University of Chicago Press, Chicago, Friedman M (1970, September 13) The social responsibility of business is to increase its profits. This is also the period which witnessed shift from the old Fordist system of mass production and mass consumption towards post-Fordism in the US economy. /Type /Font WebIt is an economic liberalism system that encourages the deregulation of the market and the privatization of resources and industries. /TT0 113 0 R << What this means is that the three countries promised not to have tariffs between each other anymore. << Furthermore, at times when the airline industy has been under financial pressure, Qantas has significantly cut fleet size, employment, and routes. /MediaBox [ 0 0 595.22000 842 ] /Contents 89 0 R /Resources 92 0 R /Rotate 0 In South America, Chile has become one of the worlds leading advocates of the neoliberal model. The proponents of neo- liberalism tried to selectively reformulate the economic ideas of Adam Smith, as found in his work The Wealth of Nations, to make a case for reducing the role of the state and allowing unhindered play of the market forces. /Tabs /S Prohibited Content 3. /Rotate 0 /Resources 66 0 R endobj Instead, a more comprehensive strategy is required to comprehend how globalization affects emerging /Parent 1 0 R Healthcare, education, and public transport, they argue, should be provided by the state for free with sufficient levels of investment to make them function well. /Type /Page hWyTaTld8PDA,., Consumerism is promoted through rigorous advertising with the help of mass media and communication technology. >> >> /CropBox [ 87.12000 246.96000 508.10000 842 ] /Parent 1 0 R << >> /CropBox [ 87.12000 246.96000 508.10000 842 ] >> Kyklos 58(2):283 Retrieved from www.vedegylet.hu/fejkrit/szvggyujt/Tabellini_state_econ_development.pdf on 14 Sept 2018, UNCTAD (2005) Trade and development report. Thus any definition or categorization has to be used carefully. Studentsshould always cross-check any information on this site with their course teacher. Get Book. This means that Swiss-based companies such as Glencore can mine mere metres away from poor local communities and give nothing back to the inhabitants. endobj /MediaBox [ 0 0 595.22000 842 ] /Contents 56 0 R Proponents maintain that market-based strategies promote efficiency, competition and stabilisation of the economy The students will often come from a larger area, but there will be an entrance exam to get in or the possibility of expulsion for bad behaviour or grades. /Resources 94 0 R https://helpfulprofessor.com/author/admin/, 1. >> Learn more about our academic and editorial standards. /Type /Page As regulated capitalism collapsed due to a crisis of profitability in the 1970s and capital re-subordinated labour, a host of economic ideas justified the emerging neoliberal social order and discredited Keynesian-style government intervention. The Bretton Woods system of fixed exchange rates collapsed in 1971 and following the first oil shock in 1973, a deep recession began in the USA which had widespread ramifications, initially in the West and then all over the world. This book illustrates the relationship between, and role of, various political, economic and social factors in solving the social problems caused by the advance of The New York Times Magazine. Charter schools are different. Our purpose here, however, is not to explore linkages between globalization and liberalization. What is beyond doubt is that globalization induces and, in turn, is induced by liberalization and economic reforms in developing countries; one cannot be understood in isolation from the other. After privatization, Qantas has continued to be a profitable and successful business. Neoliberalism in education The European Union is not the only organisation who has discovered the potential of upscaling the educational system to a supranational level. Part of Springer Nature. /Rotate 0 /MediaBox [ 0 0 595.22000 842 ] While free trade brings its benefits (imagine for example, not having access to foreign foods or cheaper electronics), it also means increased competition. Referring to the IMF-World Bank conditionalities, he has talked about the ascendancy of the structural power of capital to discipline the state. >> /MediaBox [ 0 0 595.22000 842 ] 2 0 obj >> /Type /Page Deepening disparities concomitant with intensification of globalization is borne out by the fact that the net material worth of the worlds 200 richest persons increased from $ 440 billion to more than one trillion in just four years: 199498. 37 0 obj /Font << << stream Privatizing means transforming a government-owned entity into a private company. These are not part of NAFTA, but they often have separate free trade agreements, and in any case their cheap and efficient workers are worth it for companies to invest in. /Parent 1 0 R Underpinned in the stream of thought named 'communitarianism', "Reforming Education in Developing Countries" argues that developing countries need educational reforms that are tightly entwined into their cultural, social, and organizational contexts. The ruling elites and the upwardly mobile middle classes of the developing world reap the benefits of globalization, liberalization and privatization because of their socioeconomic conditioning. 7 0 obj They may charge fees, though the government will often give parents education vouchers for free to pay these fees. This led to months-long protests and riots, with a violent police response. endobj Both domestic and international factors are responsible for these important changes in the economic policies of developing countries. With the devaluation of the currency exports are reduced and makes the country's position more competitive. /MediaBox [ 0 0 419.58000 595.38000 ] He further goes on to argue that the state itself adopts a corporate logic, embracing variants of neo-liberal ideology to justify the socially disruptive and polarizing consequences of its policies and subjecting its own agencies to cost cutting measures. /Contents 148 0 R *9:E+~p:($+"X]1mj?wp1,v-8RU8 Neoliberal ideology argues that this increases efficiency, as private companies need to be profitable in order to succeed (whereas state enterprise is under less pressure to perform well because they hold a natural monopoly). The rail system has been beset by large-scale delays and other problems ever since. A government agency (the local school board in the US) will own and manage the schools. The agreement made it easier for manufacturers to move their factories to Mexico in order to cut costs (this is called outsourcing). Retrieved from www.eprints.hud.ac.uk/4122/ on 27 Aug 2018, Schumacher R (2012) Free trade and absolute comparative advantage. /Producer (Python PDF Library \055 http\072\057\057pybrary\056net\057pyPdf\057) This globalization produces uneven development by deepening inequality within and among nations. This is one of /CropBox [ 87.12000 246.96000 508.10000 842 ] 24 0 obj This occurred in 2020, for example, during the travel ban in Australia. Webneoliberalism and globalisation and its impact on the process and development of democracy in developing countries in the present framework of global capitalism. >> w-TfxH$f*R*0HY'{k What is even more shocking, however, is the devastating effect the International Monetary Fund (IMF) and World Bank the famous Bretton Woods institutions have had on developing nations. Retrieved from https://www.nytimes.com/1970/09/13/archives/a-friedman-doctrine-the-social-responsibility-of-business-is-to.html on 26 Aug 2018, Gillson I, Colin P, Balcombe K, Page S (2004) Understanding the impact of cotton subsidies on developing countries. >> << This liberalization creates the institutional structure and the regulatory mechanism necessary for international accumulation. /CropBox [ 0 0 419.58000 595.38000 ] Since globalization has significant meaning and implications for nations, individuals and local communities, it is important that we try to grasp this elusive concept, and examine its implications, particularly for developing countries. /TT0 113 0 R Anthem Press, London Retrieved from http://www.personal.ceu.hu/corliss/CDST_Course_Site/Readings_old_2012_files/Ha-Joon%20Chang%20-%20Kicking%20Away%20the%20Ladder-The%20%E2%80%9CReal%E2%80%9D%20History%20of%20Free%20Trade.pdf on 28 Aug 2018, Chang H-J (2007) Bad samaritans: the myth of free trade and the secret history of capitalism. Neoliberalism doesnt always have to be strictly economical. >> If anything, the free trade that libertarians continuously champion creates a system where corporations transcend democracy, at the expense of the people. It means different things to different people. endobj https://doi.org/10.1007/978-3-319-31816-5_3782-1, DOI: https://doi.org/10.1007/978-3-319-31816-5_3782-1, eBook Packages: Springer Reference Economics and FinanceReference Module Humanities and Social Sciences, Over 10 million scientific documents at your fingertips, Not logged in Revisiting the historical compromise: Alliances and elite positions since 1970. /Tabs /S /TT1 119 0 R Springer, Cham. Perus economy also benefited from some of the reforms, but again this came at the steep price of inequality. Globalization is not a new phenomenon. /Resources 57 0 R Global Encyclopedia of Public Administration, Public Policy, and Governance, https://doi.org/10.1007/978-3-319-31816-5_3782-1, Reference Module Humanities and Social Sciences, https://www.actionaid.org.uk/sites/default/files/doc_lib/farmgate_media_briefing.pdf, https://cheirif.files.wordpress.com/2014/10/studies-in-comparative-early-modern-history-james-d-tracy-the-rise-of-merchant-empires_-long-distance-trade-in-the-early-modern-world-1350-1750-studies-in-comparative-early-modern-hi.pdf, www.cis.org.au/app/uploads/2015/07/op126.pdf, http://www.personal.ceu.hu/corliss/CDST_Course_Site/Readings_old_2012_files/Ha-Joon%20Chang%20-%20Kicking%20Away%20the%20Ladder-The%20%E2%80%9CReal%E2%80%9D%20History%20of%20Free%20Trade.pdf, https://www.bloomsbury.com/us/bad-samaritans-9781596917385, http://www.urbanlab.org/articles/Comaroff,%20Jean%202007%20Beyond%20bare%20life.pdf, https://www.history.ac.uk/reviews/review/325, https://www.nytimes.com/1970/09/13/archives/a-friedman-doctrine-the-social-responsibility-of-business-is-to.html, https://www.odi.org/resources/docs/4721.pdf, https://publishup.uni-potsdam.de/files/6086/wtthesis16.pdf, www.knowledge.wharton.upenn.edu/article/nafta-20-years-later-benefits-outweigh-costs/, https://www.sup.org/books/title/?id=21287, www.powells.com/book/globalization-its-discontents-9780393324396/2-5, www.vedegylet.hu/fejkrit/szvggyujt/Tabellini_state_econ_development.pdf, https://ustr.gov/sites/default/files/2016-NTE-Report-FINAL.pdf, https://archive.org/stream/capitalismandsla033027mbp/capitalismandsla033027mbp_djvu.txt, http://siteresources.worldbank.org/EDUCATION/Resources/278200-1099079877269/547664-1099080118171/Priorities_and_Strategies_for_Ed_WB_Review.pdf. 121 0 obj <> endobj >> The 1980s saw the resurgence of neo-liberalism in the USA and the UK. Since the early 1980s the SAP and stabilization mandated by the IMF and the World Bank further opened up national economies of the developing world and tried to orient, or reorient, their development strategies. There was a wave of privatisations in the UK in the 1980s under the leadership of Prime Minister Margaret Thatcher, one of the most well-known neoliberals in history. Retrieved from https://www.history.ac.uk/reviews/review/325 on 25 Aug 2018, Friedman M (1962) Capitalism and Freedom. /Resources << Below we discuss some of the main features of the current phase of globalization: (i) During the last 40 years world trade in goods and services has grown more rapidly than world output. /Tabs /S Deregulation of Universities in the UK, 10. stream Thus, globalization is a multi-dimensional phenomenon applicable to a variety of forms of social action economic, political, legal, cultural, military and technological and sites of social action, such as the environment. Consequently, around 20 per cent of the total volume of world output is exported. Google Scholar, Ferguson N (2003) Empire: how Britain made the modern world. Neoliberalism is a buzz word used to attack semi- or pseudo-free market economics, or anything resembling free market economics and even fully, rea /StemV 0 endobj Globalization is sharpening inequality among nations and within countries. /Filter /FlateDecode /Type /Page among the ruling elites and middle classes all over the world. 9b` i kBc\0AyJ///~Zx,nz^*sMXy4bICRb:EPf^eE 3Uug?uS;EQb/x`UM=4dA:pid[y/w ;]D /op false WebSystem Development in Developing Countries (Russian Federation, Republic of India and South Africa) during 20162017. /Type /Page The gulf between rich and poor in post-Thatcher Britain is shocking. It is marked by trade liberalization, global restructuring of production and distribution systems, de-territorialization of capital and intensification of technological change which is rapidly dismantling barriers to the free flow of goods and services across borders. Another noteworthy aspect of world trade controlled by TNCs is intrafirm trade. 11 0 obj /Type /Page Concepts of neoliberalism. Not all developed and developing countries will benefit from Over the past few decades, the world economy has expanded rapidly under the influence of /CapHeight 656 >> /StructParents 3 It is said that globalization is the application of neoclassical economic theory and neoliberalism that only benefits a small number of developed countries but harms developing countries. /Type /Page 132 0 obj <>/Filter/FlateDecode/ID[<92B198B55093843CCC4A7913060A8E75><5A5680B3656A4D4E8D0DD5311F88A014>]/Index[121 23]/Info 120 0 R/Length 75/Prev 210117/Root 122 0 R/Size 144/Type/XRef/W[1 3 1]>>stream (iv) In the 1980s most developing countries undertook economic reforms by adopting stabilization and SAP of the IMF and the World Bank. /Flags 6 The argument is that, if /Contents 117 0 R /TT0 113 0 R No. Online you might find many Chinese brag about this: And this Then they exclaim, that there are more skyscrapers, high speed trains, etc. in Chi Neoliberalism insists that developing countries remove obstacles to free market capitalism and allow capitalism to generate development. /Parent 1 0 R Many poor Chileans struggle to survive with meagre pensions and poor public services. WebPolitics After Neoliberalism Author: Richard Snyder Publisher: Cambridge University Press ISBN: 9780521790345 Category : Business & Economics Languages : en Pages : 286. Globalization, Neo-liberalism and the Developing World ! Thus, with the spread of the post- Fordist system, aided by new technologies, particularly in the area of transportation and communications, the 1980s witnessed a spatial reorganization of production. >> In order to calm down the protesters, the government promised to draft a new constitution to replace the one passed by Pinochet. Pius Gumisiriza . /Font << hmo0?n_TU"~H!A~wNJSMC$=qrHpp" p & Here it was led by Alberto Fujimori, a president who was also considered to be authoritarian. As the war was very expensive, the US government wanted to print money in order to finance it. /Parent 1 0 R >> /Resources 70 0 R HWvF+z h9$${-Ib " nU!E,KEa+.>a-b}aH48,eY}RFx3z7cSm}^]__GIB xmC?';ixA"G"bmm1EQ`,3m31x!?>8yxz~GH^9n{| Thus, reduction in the autonomy of the state, particularly in the area of economic decision-making, and the retreat of the state from the welfare sector have helped promote corporate interests by creating conditions which are conducive to global accumulation. >> Allen Lane, London. /Parent 1 0 R /Resources 64 0 R 2023 Springer Nature Switzerland AG. /Contents 47 0 R /Contents 91 0 R He holds a PhD in education and has published over 20 articles in scholarly journals. /XHeight 453 WebThe concept of the developing nation is found, under one term or another, in numerous theoretical systems having diverse orientations for example, theories of decolonization, liberation theology, Marxism, anti-imperialism, modernization, social change and /Rotate 0 For the remaining 140 plus countries prospects are less attractive and they may slip further behind levels of economic growth in the North, especially if they remain largely dependent upon the export of primary commodities. WebOn this video we are looking at neoliberalism policy if it is good or bad for developing countries. >> Vast cuts to public services, runaway privatisation, relaxed financial regulation, and the cutting of the top income tax from 83% to 60% (later to 40%), have turned the UK into one of the most unequal nations in the western world. /CropBox [ 87.12000 246.96000 508.10000 842 ] /MediaBox [ 0 0 595.22000 842 ] >> /Contents 140 0 R /FirstChar 32 Developing countries and their governments are the ultimate victims of a globalised set of ideals that pays no recognition to the mass inequalities it produces. %PDF-1.3 << While the benefits of globalization are reaped by theG7 countries, a transnational elite, upwardly mobile middle classes and the ruling elites of the Third World, the local communities, unskilled workers and illiterate and underfed masses of the developing countries get further marginalized and excluded from the process of development. << Concepts of neoliberalism2. << /TT0 113 0 R /Parent 1 0 R Paul Streeten puts it perceptively: In fact the bulk of the international flow of goods, services, direct investment and finance is between North America, Europe and Japan. WebDownload or read book Neoliberalism and Unequal Development written by Fernando Lpez Castellano and published by . endobj In a country like Mexico, competition of this kind can lead to severe loss of jobs in a region like Chiapas. Bloomsbury Press, New York Retrieved from https://www.bloomsbury.com/us/bad-samaritans-9781596917385 on 22 Aug 2018, Comaroff J (2007) Beyond bare life: AIDS, (bio) politics, and the neoliberal order. /Type /Page /Differences [ 32 /space 40 /parenleft /parenright 44 /comma /hyphen /period 48 /zero /one /two /three /four /five /six /seven /eight /nine /colon 65 /A /B /C /D /E 73 /I 75 /K /L 78 /N 80 /P 82 /R /S /T /U 87 /W 97 /a /b /c /d /e /f /g /h /i 107 /k /l /m /n /o /p 114 /r /s /t /u /v /w 121 /y 169 /copyright ] /Parent 1 0 R 21 0 obj /CropBox [ 0 0 419.58000 595.38000 ] << >> According to another estimate, these exports were worth $ 7 trillion, or about 23 per cent of the value of world output; however, developing countries accounted for just over 30 per cent of global exports. It was also presented as an ideology to globalize the American way of thinking. According to an estimate, The global stock of foreign direct investment (FDI) was $ 3,233 billion in 1996, having grown at an annual average rate of 24 per cent in 1986- 1990, and 17 per cent in 19911996. /Contents 34 0 R Andre Deutch Ltd, London. /ProcSet [ /PDF /Text ] 36 0 obj the ten to twelve countries which appear to be the prime beneficiaries of FDI are likely either to join the ranks of the North, or at least move closer to levels of Northern economic performance over the next generation. /CropBox [ 87.12000 246.96000 508.10000 842 ] /Parent 1 0 R In the early 1990s, the UK railway network was privatised. The least developed countries accounted for only 0.1 per cent of total global investment inflows and for 0.7 per cent of inflows to all developing countries. /Rotate 0 Ronald Reagan in the USA and Margaret Thatcher in the UK stood for substantially reducing the role of the government and declared that opportunities should be created for full play of market forces in the economy.