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Leadership and progress: democratic capitalism and the Pax Americana have brought many more global benefits than is often realized.

From: Business Economics  |  Date: 1/1/2004  |  Author: Meltzer, Allan H.

During the postwar years, more people in more countries increased their living standards by larger amounts than in any period in recorded history. Two institutional changes, working together, explain much of the difference between postwar and previous experience. One is the spread of democratic capitalism, joining the market system to property rights and the rule of law. The other is the Pax Americana, the willingness and ability of the United States to use military strength to deter ...

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