How does neoliberalism influence economic growth?

Neoliberalism Questions



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How does neoliberalism influence economic growth?

Neoliberalism influences economic growth by promoting free market principles, deregulation, privatization, and reducing government intervention in the economy. It emphasizes the importance of individual freedom, competition, and entrepreneurship. Neoliberal policies aim to create a favorable business environment, attract foreign investment, and stimulate economic activity. Proponents argue that neoliberalism leads to increased efficiency, innovation, and productivity, which ultimately contribute to economic growth. However, critics argue that neoliberal policies can exacerbate income inequality, weaken social safety nets, and prioritize profit over social welfare.