Legal foundations: prescription for emerging and transition economies

Abstract

This paper examines the critical importance of specific legal foundations common to economies that have developed and now enjoy high standards of living. It explains the economic cycle and identifies the importance of a legal system to all types of capital and to the operation of the cycle to satisfy human need fulfillment. The paper also addresses how one economy’s lack of rudimentary legal foundations can contaminate or adversely affect extant economies, including well‐developed economies. It offers a prescription for legal elements essential to all economies that aspire to a “free market” and argues why leaders, policy makers, and providers of capital should promote and even insist on such foundations in emerging and transition economies. This paper should appeal to a broad array of individuals with an interest in the role of law in emerging and transition economies, including researchers, policy makers, strategists, and analysts.

Citation

Groth, J.C. and Roberts, A.A. (2001), "Legal foundations: prescription for emerging and transition economies", European Business Review, Vol. 13 No. 5, pp. 297-306. https://doi.org/10.1108/EUM0000000005798