22:27 20 October 2020
Authoritarianism does not bother money
The popular belief that representatives of authoritarian, populist governments are acting to the detriment of business and the liberal economy is far from the truth, writes Emerging Europe, referring to the example of Hungary. An analysis of the illiberal policies of such authorities shows that international corporations even benefit from their policies.
As Giulia Guerrini writes in her article, the main advantage of authoritarian power from the point of view of business and corporations is the stability and predictability of political processes taking place in a given country.
Thanks to them, it is easier for large enterprises to build long-term strategies and forecast revenues.
An additional factor that, according to Guerrini, often brings business and authoritarian power closer together is its policy of linear taxation and limiting social spending, which allows for capital accumulation in the hands of multinational companies and a group of privileged domestic entrepreneurs.
