Financial liberalization, economic growth and rents.

In this work evidence against the conventional wisdom that liberalization processes wipe out rents and foster the economic development of countries by weakening the power of social groups relying on rents is criticized. In particular two countries studies are examined namely South Korea and Turkey.It is argued that after liberalization investment and growth are not driven by lower rents and that in new environment the same social groups maintin their economic power relying on new rents mostly coming from fanancial markets.