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The authors describe the need to further reduce the size of the public sector and provide the example of Sweden which reduced the size of the state from 67% to 49% with good results. France has shown concern about a large public sector which reduces efficiency and growth. India is likely to shift away from the large public sector under the new Modi administration in 2014. Developing new alternatives would also create new energy and create new options to the state capitalism model of China and Russia for developing countries. The crony capitalism in Brazil with state supported development has serious limitations as shown by sharply slowing growth and other problems.
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