Share of employees working in the public sector is a more narrow statistic than the total role of government in the economy. The share of GDP consisting of gove

Share of employees working in the public sector is a more narrow statistic than the total role of government in the economy. The share of GDP consisting of government spending is a better measure of that. The correlation between the size of government, as percentage of GDP, and GDP growth, is strong. [1] China has substantially lower levels of social welfare spending. Its healthcare spending as a percentage of GDP is 5.5% for example [2]. Labour regulations are also much less onerous. You can use IQ tests to filter candidates for example, which would be extremely illegal in the West. [1] http://ime.bg/uploads/335309_OptimalSizeOfGovernment.pdf http://ime.bg/uploads/335309_OptimalSizeOfGovernment.pdf [2] http://data.worldbank.org/indicator/SH.XPD.TOTL.ZS?locations=CN http://data.worldbank.org/indicator/SH.XPD.TOTL.ZS?locations...