I am a pure, dyed in the wool laissez-faire capitalist/libertarian.
That being said...
Capitalism and representative government can only flourish when there is a social contract in place that demands the enforcement of laws and contracts, relatively unbiased courts, and some sense of the ability to seek redress of grievance short of the machete or AK. All these things have to develop together, and at a measured pace, or else you get the kind of mayhem we see in Iraq, and to some degree, in Russia.
An acquaintance and I corresponded recently regarding the mass migration from Mexico. Not to move the thread to a "Seal the Borders!" line of discussion, we were trying to figure out why the economic conditions in Mexico were so poor, when the natural resources of the country were so great. I finally decreed (rather pompously) that with self rule, fair courts, and capitalism, the economy will ALWAYS improve over time. That more people will move out of poverty, more will move to middle class, and some will get wealthy. So, what do Africans, or Mexicans or Laotians need to make this happen? Capitalism without enforcable contracts has given rise to the Russian Mafia. Capitalism (of a sort) without a social contract or impartial courts has given rise to Mexican incursions. Whateverthehell they have in Iraq without a social contract that permits a redress of grievance without sectarian violence gives us... whateverthehell we have going on in Iraq. Capitalism alone, representative government alone, social stability alone, just can't cope. Got to have at least SOME of all of it together.
