Authors: Thomas Jandl
Abstract:This paper looks at social and economic inequality from a political science perspective, albeit in keeping with the Schumpeterian logic of “creative destruction.” Inter-provincial competition for investment creates pluralist contestation among societal actors. A new Pareto-optimal interest structure arises, in which inequality – both political and economic – is reduced by competition among elite and non-elite groups alike. The paper shows that globalization, often seen as a cause for inequality, can under bounded conditions have the opposite effect.
Keywords: Vietnam; economic development; decentralization; globalization