The Mafioso State: state-led market bypassing in South Korea and Turkey.

'Developmental' states often obfuscate the distinction between the state and the market, as state actors prefer political over economic solutions to market problems (market bypassing). Market bypassing is a process of replacing monopolies in the private sector with state monopolies; in so doing, the...

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Published in:Third World Quarterly Vol. 23; no. 4; pp. 711 - 724
Main Authors: Ingyu Oh, Varcin, Recep
Format: Article
Published: Taylor & Francis Ltd Aug2002
Subjects:
Online Access:View this record in EBSCOhost
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          Ingyu Oh
          Varcin, Recep
        affil:
          Faculty of Asia Pacific Management, Ritsumeikan Asia Pacific University, Beppu, Japan
          Faculty of Political Science, Ankara University, Ankara, Turkey
      su:
        Markets
        Monopolies
        Private sector
        Business
        South Korea
        Türkiye
      sug:
        subj:
          South Korea
          Türkiye
          Markets
          Monopolies
          Private sector
          Business
      ab: 'Developmental' states often obfuscate the distinction between the state and the market, as state actors prefer political over economic solutions to market problems (market bypassing). Market bypassing is a process of replacing monopolies in the private sector with state monopolies; in so doing, the state transforms itself into a mafioso state. The business of the mafioso state is selling 'protection' to businesses and collecting extracts, either legal or illegal, in return. The result of the mafioso state in the economy is the conglomeration of businesses, as is clearly the case in both South Korea and Turkey.
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