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7 - Private Groups in Comparative Perspective

Published online by Cambridge University Press:  09 July 2021

Shelby Grossman
Affiliation:
Stanford University, California
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Summary

Chapter 7 first summarizes the book and assesses the conditions under which government threats will motivate private good governance. The second half of the chapter considers the policy implications of the book’s findings. It proposes that private governance – and, in turn, economic development – is best supported not by an absentee state or by massive state intervention in trade. Rather, a middle ground is ideal. It argues that regardless of one’s assumptions about how economic growth in private groups shapes the broader economy, since private groups control a massive portion of most economies, growth within these groups is important for its own sake.

Type
Chapter
Information
The Politics of Order in Informal Markets
How the State Shapes Private Governance
, pp. 110 - 124
Publisher: Cambridge University Press
Print publication year: 2021

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