Economism: the New Development Paradigm

The economism paradigm consists of five key elements: capitalist market economy; poverty reduction rather than the pursuit of equality; the “economic fertilizer” role of government; a pro-growth political regime and domestic economic stability. Economism is a paradigm of “more or less”, in which individuals with different income can change positions given equality in economic opportunities. Economic security is the primary concern of the paradigm. Inter-personal comparisons always lead to income inequality, but intra-personal comparison encourages wealth accumulation. Government intervention should produce growth-promoting economic incentives. The export-led strategy that attracted foreign investments has to be supplemented by stable and consistent domestic conditions. Economic freedom is essential to a “pro-growth” regime and economic growth becomes the political priority. This paper aims to establish the paradigm of economism, which can have strong linkage to other disciplines, and serves as a stimulant to a number of economic areas and disciplines.