ABSTRACT
Contemporary economic history may be characterized as the ascent of the principles of Adam Smith and the demise of those of Karl Marx. Until the late 1990s Marxism was at the pinnacle of success; it dominated most of the earth’s surfaces. The former and remaining communist nations have performed as well or better economically than most statist nations. This is because they are committed to Adam Smith’s belief that the wealth of nations depends on production. Even more devastating for Marxism were two later events: first, most remaining communist nations (China, Vietnam, Laos, and Cambodia) effectively junked communism and instituted deregulation and privatization, and second, France and The Netherlands refused to ratify the proposed EU socialist constitution, effectively destroying it. The global economy has transformed planet Earth into a highly competitive marketplace where nations vigorously compete with each other to obtain economically hospitable locations.
