Thus the slowdown in research and in investment in general contributes to lagging standards of living, which in turn fuel a rising popular discontent. In order to soften this widespread dissatisfaction, authorities appeal for calm and sacrifices in the name of patriotic duty "in this time of crisis." As an already frustrated populace becomes aware of the increasing distortions in the economy introduced by growing regulation and nationalization, a perception of crisis emerges. There is therefore strong pressure to regulate or nationalize further portions of the economy "for the duration of the emergency."      Next page
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