The Little (Economic) Engine that Could

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Free Market Foundation

The Little (Economic) Engine that Could

Karol Boudreaux and Benjamin VanMetre penned an article for the free market foundation on the economic growth of Mauritius.

 

Despite the relatively stagnant levels of foreign direct investment around the world in 2010, the small African country of Mauritius recently announced that it expects an 8% increase in FDI this year. By liberalizing its economy while also focusing on improving the quality of its institutions, Mauritius has created an environment that investors are confident in. 
Economically sound policies paired with strong and inclusive institutions have helped make Mauritius a success. Other developing countries could learn from the Mauritius model. 
Despite the relatively stagnant levels of foreign direct investment around the world in 2010, the small African country of Mauritius recently announced that it expects an 8% increase in FDI this year. By liberalizing its economy while also focusing on improving the quality of its institutions, Mauritius has created an environment that investors are confident in. 
Economically sound policies paired with strong and inclusive institutions have helped make Mauritius a success. Other developing countries could learn from the Mauritius model.