Estonia, Richard Rahn argues, has been doing everything right since the Soviets left, except perhaps for joining the Euro. That sounds about right. The little Baltic land, upon becoming free, decided simply to skip the "middle way" that trapped so many countries into welfare state socialism and instead go right to modern capitalism. Now, with a six percent growth rate, it is prospering mightily.
Unlike Greece or most American states, Estonia's bureaucracy is minimal. Indeed, Rahn reports, the Estonians handle their business with the government on the Internet. Having lacked real banks for so many decades they also never had checks; and today they just send transfers from their accounts to whatever store they are frequenting.
They have a flat tax. Their debt is 1.6 percent of GDP.
In some ways, Estonia makes the US, as well as places like Greece, look backward.
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