In one other put up, I identified that a lot of the world’s richest nations are small. Nevertheless it’s additionally true that many small nations are fairly poor. Moreover, the US is in lots of respects the world’s most profitable financial system, and it’s clearly fairly giant. So what’s the connection between measurement and wealth?
You can do a “simple regression”, however I don’t imagine that’s the appropriate technique to method the issue. It appears possible that the connection between nation measurement and wealth will depend on quite a lot of elements.
A current put up by Noah Smith acquired me fascinated by this subject. He mentioned the case of Native American entrepreneurship in Vancouver:
Vancouver, Canada exhibits us an instance of how this may be completed. A part of Vancouver’s downtown city space is formally underneath the governance of the Squamish Nation, quite than town itself. The Squamish Nation, realizing they might do no matter they wished with that land, determined to construct a large high-rise housing improvement:
[I discussed that example in an earlier post.]
Smith additionally linked to a related instance within the US:
Tesla is ramping up efforts to open showrooms on tribal lands the place it might probably promote on to shoppers, circumventing legal guidelines in states that bar car producers from additionally being retailers in favor of the dealership mannequin.
Mohegan Solar, a on line casino and leisure advanced in Connecticut owned by the federally acknowledged Mohegan Tribe, introduced this week that the California-based electrical automaker will open a showroom with a gross sales and supply middle this fall on its sovereign property the place the state’s legislation doesn’t apply.
What do these examples have in widespread? The Indian nations are positioned in densely populated areas which might be pretty prosperous, but in addition extremely regulated.
While you have a look at a spot like Africa, you see giant nations which might be poorly ruled and poverty stricken (Nigeria, Congo), but in addition small nations which might be poorly ruled and poverty stricken (Equatorial Guinea and Gambia). They’re all positioned removed from prosperous markets to the north. Even throughout the US and Canada, Indian nations positioned in distant areas are typically comparatively poor. You additionally see giant nations which might be positioned close to wealthy locations, however stay comparatively poor. Mexico is an efficient instance.
The “sweet spot” appears to be small impartial areas which might be positioned close to large prosperous markets. Is that this as a result of Native Individuals are notably libertarian? I doubt it. Some indigenous communities have communal land possession and a prohibition on alcohol. Reasonably, I believe that these areas have found a market area of interest. They’ll revenue by offering items in excessive demand which might be severely restricted by close by native governments.
While you look world wide, you see many examples of rich enclaves which might be positioned proper subsequent to greater however extra extremely regulated markets. As an illustration, Hong Kong and Macao are positioned proper on the sting of Mainland China. Luxembourg, Liechtenstein and Monaco are positioned proper subsequent to the massive EU market. Dubai is correct subsequent to bigger however extra regulated nations equivalent to Saudi Arabia. These tiny locations have a few of the highest per capita GDPs in the whole world.
If Tijuana had been a tiny impartial nation, I believe that by now it could have been far richer than it’s. While you have a look at the current financial success of the Dominican Republic, after which recall pre-revolution Havana, it makes one unhappy to think about how a lot the Cubans missed out on. Within the late Fifties, Cuba was a lot richer than the DR, and is positioned far nearer to Florida.)
Very long time readers know that I’m fairly strongly against a few of the excesses of wokism (though I definitely oppose bigotry.) However one woke initiative that I might get behind is just some miles south of the place I stay. There’s a 15-mile stretch of virtually utterly undeveloped land alongside the coast between Orange and San Diego counties. Proper now, the Marines use a portion of the land, however the army might simply be moved to a much less fascinating spot. Maybe we might make amends for our earlier mistreatment of Indians by giving that land again to a Native American group.
Think about the type of walkable urbanism that builders might give you on 15 miles of coastal southern California. The San Onofre nuclear energy plant might provide carbon free electrical energy, if it had been recommissioned.
I’m shedding religion within the white man’s skill to make America nice once more by considering large, however after seeing what the Squamish are doing in Vancouver, maybe the Native Individuals can restore America’s pioneer spirit. Right here’s an image of Miami Seaside, to whet your urge for food for the potential of Camp Pendleton:
Merry Christmas!
