Djankov was a proponent of the "neoliberal" economic school, that upheld the theory of "efficient markets" and "rational expectations". Now that this doctrine has been conclusively proved false by history, Djankov has nowhere to go, and nothing to say. Let us hope that he goes soon.

Neoliberalism may be a failure, but the free market/competition has nothing to do with neoliberalism. The free market is the way to go - not nationalizations, socialism or private monopolies.

.....yeah, the horrifying contrast between the concept (Neoliberal Economic theory declares the adherence to 'laissez-faire' principles
i.e. just to the free market/competition) and the real practice [the concept in action...;-)] of the last forty years: «A Brief History of Neoliberalism» by David Harvey.

......or not the contrast? ;-)

Neoliberalism is about corporations and lobbyists corrupting governments and causing misery. Neoliberalism rules most of the world but it is not the free market. The free market has never existed in most parts of the world. In America it existed only up to the 1910's. Pseudo-intellectuals love to sell the idea that neoliberalism is the free market because conspiracy always sells.


Watch Milton Friedman's "Free to Choose" and read the "Road to Serfdom" by Friedrich Hayek and you'll know there is a major difference between what the world has today - neoliberalism - and what the free market is.

Bulgaria has never had a free market - it's either had anarchy and corruption or heavily subsidized markets.

Djankov is right, to be disliked goes with job, everyone wants to be financed either with cash or through services but any "pot" is limited and, in a worldwide recession, it is very limited. If this man left Bulgaria in a sound financial position he is to be applauded, without his determination and forethought everyone would be even poorer.

...;-) It's about definitions. "Free market", what is it?
Neither Friedman ["The existence of a free market does not of course eliminate the need for government"] nor Hayek ["The argument for liberty is not an argument against organization",] do not deny the participation of State. They are for "minimal State", right?
But still "State". And just State, not Market, is- finally- violin №1 of
that duo. I mean that in a class society, i.e. in any State, the "free market" -and the more "free" the stronger- leads to what we have now.
And, btw, just "anarchy" (if to concider it as 'a society without a government') could be the model of the "free market"....;-)

Just don't get carried away by "jargonism" the world is made up of people and all people (at times) are unpredictable. Neoliberalism, free market economy are jargonisms to easily illuminate a system but any system is only as good as its people and, as has been said, people are unpredictable. The acid test is history, it is what has actually happened not "pie in the sky". In recent history communism, socialism, power to the state systems have been shown to have failed the people, nit because of their doctrine but because those that operated the system are people and so corruptible. The same may be said of the western system (but final judgement must wait because the end is far from having happened yet) which appears to be under tremendous strain at the moment, again because of people that are corruptible. Maybe all systems work for a while and then corruption creeps in so maybe any system should incorporate anti corruption checks. So far though history has shown that the most progress has been made under systems that allow their populations to enjoy freedoms and those that encourage initiative and private business.

Resoluteness in limiting the state expenses is one thing. Unfortunately he forgot to be as resolute in collecting the state revenues. Allowing financial criminals to continue their practices under the high protection of the government/justice makes him a failure. Remember the Birata...

To be fair Philippe, the conviction of tax criminals is in the hands of the Bulgarian judiciary which when I last checked was neither reknown for their transparency and lack of corruption or under the control of the Finance Minister.

However, in specific relation to collection of revenues, what Djankov should be applauded for is:

- In 2012 boosting tax and social security receipts by nearly BGN 700 M as compared to 2011

- Securing 1000 tax crime convictions (albeit this figure is probably small offenders and would have been much greater had the NG judiciary done their job)

- Remote connection of cash registers to the NRA database which has helped reduce non-reporting of revenue

I dont recall Plamen Orescharski doing anything during the boom years when the BSP-Turk-Witch coalition where in power.