Re:Zombie Factories Stalk the Sputtering Chinese Economy
by gerbal on Saturday August 29, 2015 @10:48AM
(#10140139)
Planned economies are not inherently unable to direct said effect. They just have a harder time reallocating resources from failing enterprises because of the political nature of resource allocation.
Look at a large corporation like IBM some floundering business units persist for decades because of the internal political cost of ending them when economically it is the prudent thing to do.
Look at a large corporation like IBM some floundering business units persist for decades because of the internal political cost of ending them when economically it is the prudent thing to do.