Policies·pk_sixth_five_year_plan_1983_1988

Sixth Five-Year Plan (Pakistan 1983-1988)

PAK·1983 – 1988·Military government (Zia)candidate

movesspending level↑product market competition↑

What the policy did

Planning Commission plan covering FY1983-84 to FY1987-88 (Mahbub ul Haq as Planning Minister). Targeted 6.5% GDP growth (achieved 6.5%); private-sector-led industrialisation emphasis; rural development and Peoples Works Programme; expansion of universal primary education. Reduced public-sector share of total fixed investment from ~60% to ~45%.

Policy-content fingerprint — what this policy moved, on which axes

Per invariant 3, reforms are scored by what they did on each channel-separated axis, not by the party that enacted them. This fingerprint is how the policy-match engine finds historical analogues.

intended

↑

spending level

fiscal.spending_level

General government spending as share of GDP, excluding transfers already captured under fiscal.transfer_expansion to avoid double-counting.

increased · weak

higher spending share

Development-budget expansion; Peoples Works Programme rural spending.

↑

product market competition

regulatory.product_market_competition

Product-market regulation, entry barriers, licensing burdens, network-industry regulation, price controls.

increased · weak

more competition-friendly (lower entry barriers)

Shift toward private-sector-led industrialisation reduced public-sector investment share.

Enacted by

pakistan_zia_ul_haq_military_islamisation_1977_1988

Empirical evidence — linked hypotheses

Explicit links are curated by the author. Inferred links are hypotheses in the library that test the same axes this policy moved — the framework's answer to "what does the data say about a policy like this?".

The Soviet central-planning system, having already exhibited TFP stagnation 1970-1989, underwent a canonical institutional and economic collapse 1989-1998 as plan-enforcement was withdrawn without functioning market institutions in place.

soviet_union_central_planning_gdp_collapse_1989_1991inferred

viaregulatory.product_market_competitionfiscal.spending_level

INCONCLUSIVE_DATA_PENDING — no outcome variable loaded; missing: ['derived: count of canonical_metrics with threshold met']

run pending

Rapid market liberalisation (price decontrol, mass privatisation, trade opening) under weak institutions produces large short-run welfare losses—rising mortality, falling life expectancy, rising inequality, and collapsing output—that may persist for at least a decade, compared to gradual reformers or non-reformers at similar initial income levels.

free_market_shock_therapy_social_costinferred

viaregulatory.product_market_competitionfiscal.spending_level

PARTIAL — mean_gap=-3.156, |gap|/pre_sd=1.8, p_perm=0.367; claim direction ambiguous

partial

Across a broad panel of economies 1980-2020, market reforms (privatisation, trade liberalisation, and price decontrol) produce durable gains in real GDP per capita growth only when rule-of-law scores exceed a minimum threshold (WGI Rule of Law > -0.5, approximately the 40th percentile of the global distribution).

rule_of_law_market_reform_complementarityinferred

viaregulatory.product_market_competition

REFUTED — coef=-0.1483 (sign opposite claim +), p=0.00481

refuted

Estonia adopted among the most radical market-liberalisation packages of any post-Soviet state — flat tax (26% universal rate, 1994), currency board (EEK pegged to DM/EUR, 1992), rapid privatisation, unilateral free trade, and minimal capital controls — and by 2007 had recovered to Soviet-era GDP per capita levels and substantially exceeded them, while Belarusian and Ukrainian peers had not recovered comparably.

estonia_market_reform_post_soviet_growth_1991_2007inferred

viaregulatory.product_market_competition

PARTIAL — recovery threshold pass=True (year_recovered=1998, 2007 vs 1991 = 70.53282727739165); Baltic−CIS gap pass=False (gap=5.1509956229348575)

partial

Large welfare states sustain long-run real GDP per capita growth when paired with market flexibility (low product- and labour-market barriers), trade openness, and fiscal discipline (debt-to-GDP below 90%), but not when paired with rigid product and labour markets, in an OECD and rich- country panel 1980-2020.

welfare_state_market_flexibility_complementinferred

viafiscal.spending_level

PARTIAL — coef=+3.308e-18, p=0.653; effect magnitude effectively zero

partial

From 2000 to 2023, Asian economies that continued market-oriented institutional reform from a low starting GDP-per-capita base — China, India, Vietnam, Indonesia, Malaysia, Thailand, Philippines, Bangladesh, Sri Lanka, Cambodia — converged rapidly on Western income levels, with cumulative log GDP-per-capita-PPP growth materially greater than incumbent Western economies.

asian_convergence_vs_western_stagnation_2000_2023inferred

viaregulatory.product_market_competitionfiscal.spending_level

PARTIAL — coef=+4.616e-17, p=0.912; effect magnitude effectively zero

partial

Among high-income economies 1990-2020, services-sector competition — measured by low barriers to entry, low incumbent-protection scores, and high churn in retail, transport, communications, and professional services — predicts long-run prosperity (real GDP per capita growth and labour-productivity growth) better than manufacturing-specific industrial policy spending.

sectoral_competition_services_productivityinferred

viaregulatory.product_market_competition

PARTIAL — coef=+0.000842, p=0.361 (above α=0.05); direction inconclusive

partial

Following the 1989-1992 collapse of the Soviet bloc, post-communist countries that adopted market reforms rapidly (Poland, Estonia, Czech Republic, Hungary, Slovenia, Slovakia, Latvia, Lithuania — the "fast reformers") experienced faster recovery in life expectancy at birth than countries that reformed slowly or retained state-socialist economic structures (Russia, Ukraine, Belarus, Moldova, Kazakhstan — the "slow reformers").

post_soviet_market_reform_life_expectancyinferred

viaregulatory.product_market_competition

INCONCLUSIVE_DATA_PENDING — treatment 'fast_reformer_post_transition' has no within-country variation under country fixed effects

run pending

Similar historical policies

Ranked by axis-fingerprint overlap with this policy. Direction match bolded — those are the closest historical analogues. Shape of the match is what drives policy-outcome comparison, not the country or party label.

Italy PNRR (Piano Nazionale di Ripresa e Resilienza) 2021

ITA·2021

match

1.1

spending levelproduct market competition

Post-independence nationalisations and state economy

AGO·1976

match

1.0

product market competitionspending level

Milei Shock Therapy — Argentina December 2023 onward

ARG·2023