Autarky

From Wikipedia, the free encyclopedia

Part of a series on Economic systems
Ideologies and theories
Capitalism Communist economy Corporatism Fascist economy Islamic economics Laissez-faire Mercantilism Natural economy Primitive communism Social market economy Socialist economics
Sectors and systems
Closed economy Dual economy Gift economy Informal economy Market economy Mixed economy Open economy Participatory economics Planned economy Subsistence economy Underground economy Virtual economy
Related articles
Anglo-Saxon economy American School Command Economy Global economy Hunter-gatherer Information economy Newly industrialized country Palace economy Plantation economy Token economy Traditional economy Transition economy
Image:Portal.svg Business and Economics Portal
This box: view • talk • edit

An autarky is an economy that is self-sufficient and does not take part in international trade, or severely limits trade with the outside world. Likewise it refers to an ecosystem not affected by influences from the outside, which relies entirely on its own resources. In the economic meaning, it is also referred to as a closed economy.

Contents 1 Origin of the term 2 Additional characteristics of autarkies 3 Modern autarkies 4 Historical autarkies 5 References

[edit] Origin of the term

The word "autarky" is from the Greek αὐτάρκεια, which means "self-sufficiency" (derived from αὐτο, "self," and ἀρκέω, "to suffice"). The term is sometimes confused with autarchy (Greek: αὐταρχία) which is pronounced the same as autarky, and means self-government or government by absolute rule.^{[citation needed]} Libertarian theorist Robert LeFevre used "autarchy" and "autarchism" in the sense of self-government to describe his own political philosophy and to distinguish it from anarchism.

[edit] Additional characteristics of autarkies

The tendency of autarkies to invade their neighbors in an attempt to increase their access to resources has long been known.^{[citation needed]} As the 19th century economist Frédéric Bastiat put it, "If goods don't cross borders, troops will".

[edit] Modern autarkies

Mercantilism was a policy followed by empires, especially in the 17th and 18th centuries, forbidding or limiting trade outside the empire. In the 20th century, autarky as a policy goal was sought by Nazi Germany in the 1930s, by maximizing trade within its economic bloc and minimizing trade outside it.^{[citations needed]}

Today, complete economic autarkies (or autarchies) are rare. An example of a current autarky is North Korea, based on the government ideology of Juche (self-sufficiency). However, even North Korea has a small amount of trade with the People's Republic of China and Japan. Bhutan, seeking to preserve an economic and cultural system centered around the dzong, has until recently maintained an effective economic embargo against the outside world, and has been described as an autarky. With the introduction of roads and electricity, however, the kingdom is being forced into trade relations as its citizens seek modern manufactured goods.^{[citations needed]}

[edit] Historical autarkies

• The United States, while still emerging from the American Revolution and wary of the economic and military might of Great Britain, came close to complete autarky in 1808 when President Jefferson declared a self-imposed embargo on international shipping. The embargo lasted from December 1807 to March 1809. ^[1]

• Japan was partially an autarky during the era known as the "Edo period", prior to its opening to the west in the 1850s, as part of its policy of sakoku. There was a moderate amount of trade with China and Korea; trade with all other countries was confined to a single port on the island of Dejima.

• Mussolini's Italy claimed to be an autarky [1], especially after the 1935 invasion of Abyssinia and subsequent trade embargoes. However, it still conducted trade with Germany and elsewhere.

• The Soviet Union during Stalin's reign was proposing a doctrine labeled Socialism in one country. Although it was not necessarily an absolute form of autarky it contained elements supporting an isolationist policy, such as: claims of Russian pre-eminence in various scientific fields, attempts of dissociating the scientific grounds from the Western synchronic theories (the Lysenko affair) and others.^{[citation needed]}

• Spain, under dictator Francisco Franco, was an autarky from 1939 to 1959, when Franco allowed outside trade again, coinciding with the beginning of the "Spanish miracle".^{[citation needed]}

• India had a policy of near-autarky that began after its establishment as an independent state, around 1950, and ended in 1991. [2]

• China as well was close to an autarky from around 1950 to 1978, as a result of policies established by Mao Zedong. [3]

• Burma followed a policy of autarky known as the Burmese Way to Socialism under dictator Ne Win, who ruled the country from 1962 to 1988.

• Albania became a near-autarky in 1976, when Communist Party leader Enver Hoxha instituted a policy of what he termed "self-reliance". [4] Outside trade increased after Hoxha's death in 1985, though it remained severely restricted until 1991. [5]

• Ceausescu's Romania in the 1980s proposed such goals as: paying the entire foreign debt, increasing the number of items produced in the country and their quality. The aim of these policies was to reduce dependency on foreign imports, as the relationship of Ceausescu with both Western and Communist leaders was worsening.^{[citation needed]}

[edit] References

1. ^ http://www.dartmouth.edu/~dirwin/Embargo.pdf (PDF file)

bg:Автаркия

ca:Autarquia cy:Awtarci da:Autarki de:Autarkie es:Autarquía eo:Aŭtarkio fr:Autarcie it:Autarchia he:כלכלה אוטרקית hu:Autarkia nl:Autarkie ja:閉鎖経済 pl:Autarkia (ekonomia) pt:Autarquia ro:Autarhie ru:Автаркия simple:Autarky sr:Аутаркија uk:Автаркія