Chang, who has written best sellers including Kicking Away the Ladder and 23 Things They Don’t Tell You About Economics, debunks the notion that politics and economics can be separated. The state and markets are inherently intertwined.The problem is, that while “there is no scientifically defined boundary of the market, economists have been convincing people that they know where the boundary should be,” Chang says.
Defining the boundaries of markets within economic systems is impossible because of the variety of the systems themselves, especially between nations. The American capitalist system is fundamentally different from other capitalist systems, Chang says. Each system is “propped up” by its own network of regulations, participants, and currencies. With such variety, it is impossible to define a true market boundary.
...political arguments are being passed off as objective truths....INET — The Institute Blog
Ha-Joon Chang and Mariana Mazzucato: Rethinking the State
Ha-Joon Chang, Reader in the Political Economy of Development at the University of Cambridge, and Mariana Mazzucato, RM Phillips Professor of Science and Technology at the University of Sussex
I think it is clearer to say that economics and law are inherently entwined rather than economics and the state. From a broader perspective, it is more correct to say that economies are inherently entwined with institutional arrangements of which government is a major one in that so many institutional arrangements are grounded in law and legal agreements, and carry legal implications.
