For example, trade liberalization measures, such as the reduction of tariffs and the removal of other controls on exports and imports, have been a key element of the growth strategies of a number of fast-growing emerging market economies, including China.7 Openness to inflows of foreign direct investment has helped many emerging economies import foreign management techniques and technologies as well as to attract foreign capital.
More generally, greater use of markets improves the allocation of resources, creates incentives for more efficient forms of production, and encourages entrepreneurship and innovation.