Therefore, even though these economies grew extraordinarily fast to reach the ranks of the rich, as their initial advantage of low wages disappeared and exports became more difficult, their politically strong but very inefficient domestic-oriented sector began to impose serious constraints on internally generated growth. Not only is it hard for these economies to grow on their own in normal times, but it is even harder for them to stimulate domestic growth in downturns without tremendously wasteful spending. The natural impulse of the government, when urged to spend, is to favor influential
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