The Government’s business

FOLLOWING the global financial crisis in 2008, economies worldwide were mired in a recession reminiscent of the great depression of the late 1920s.

The 2008 crisis compelled governments to actively review their mode of development, specifically the extent of state intervention in the economy as well as the type of policies to promulgate to enable their economies to compete effectively in a globalised economy. In Malaysia, after a long review of its economy, the Government announced its intention to introduce a new economic model. However, one crucial matter that has not figured in these debates, particularly when reviewing Asian economies, is the nature of the state.