The US used to have a robust concept of property rights. Now we have less than we used to.
The point of property rights is not just that you have ownership on paper, but that you are able to USE your property as you see fit, without having to grease the palms of a bunch of politicians and bureaucrats to do it, to get waivers from stifling regulations and not having inspectors continually on your back.
In Third World countries, the Elites encourage corruption in government officials by design. This corruption stifles the unconnected middle class from being able to create wealth. Meanwhile, the corrupt bureaucrats do not bother the "connected".
In Third World countries, the Elites encourage corruption in government officials by design. This corruption stifles the unconnected middle class from being able to create wealth. Meanwhile, the corrupt bureaucrats do not bother the "connected".
Enron got all the official check-offs in India. They were stiffed anyway, to the tune of $900m. Stories like Enron's are why for foreign corporations, India is pretty low on the list of investment destinations. The scale and pervasiveness of theft (private and public) is not only mind-boggling, it serves to actively depress economic activity.