The free market does not exist. There is no unencumbered market.…Maybe in Somalia.…That’s what a free market is. It is feudalism. It is who has got more guns…or swords, and arrows. They’re the ones who are going to…accumulate the most wealth. Capitalism can only function properly with strong government controls that protect consumers and workers from the excesses of capitalism. It’s not even the excesses. It’s the operation of capitalism.I love how he assumes that libertarianism or free-market capitalism is about allowing whoever has the most guns the right to rule, even though both philosophies reject the use of force through the non-aggression principle. As one person said in the comment section: “Well, if that's his concern then it makes no sense to grant the state exclusive monopoly on the use of the biggest, baddest guns in society, does it?”
As one of the world's leading international financial centers, Hong Kong has a major capitalist service economy characterized by low taxation and free trade. The currency, Hong Kong dollar, is the eight most traded currency in the world as of 2010. Hong Kong was once described by Milton Friedman as the world’s greatest experiment in laissez-faire capitalism. It maintains a highly developed capitalist economy, ranked the freest in the world by the Index of Economic Freedom for 15 consecutive years. It is an important centre for international finance and trade, with one of the greatest concentrations of corporate headquarters in the Asia-Pacific region, and is known as one of the Four Asian Tigers for its high growth rates and rapid development from the 1960s to the 1990s. Between 1961 and 1997 Hong Kong's gross domestic product grew 180 times while per-capita GDP increased 87 times over.Hong Kong is but the leading example. The remaining Top 10 freest economies are Singapore, Australia, New Zealand, Switzerland, Canada, Ireland, Denmark, the United States, and Bahrain. As for Somalia, it isn’t even listed on the Index of Economic Freedom World Rankings. So much for it being a libertarian free market paradise!
The Hong Kong Stock Exchange is the seventh largest in the world, with a market capitalization of US$2.3 trillion as of December 2009. In that year, Hong Kong raised 22 percent of worldwide initial public offering (IPO) capital, making it the largest centre of IPOs in the world and the easiest place to raise capital. Hong Kong's currency is the Hong Kong dollar, which has been pegged to the U.S. dollar since 1983.
The Hong Kong Government has traditionally played a mostly passive role in the economy, with little by way of industrial policy and almost no import or export controls. Market forces and the private sector were allowed to determine practical development. Under the official policy of "positive non-interventionism", Hong Kong is often cited as an example of laissez-faire capitalism. Following the Second World War, Hong Kong industrialized rapidly as a manufacturing centre driven by exports, and then underwent a rapid transition to a service-based economy in the 1980s. Since then, it has grown to become a leading center for management, financial, IT, business consultation and professional services.