What do we mean by the term the liberalization in the context of the economic geography?
The term ‘the Liberalization' means the free movement of all the forces in various fields without any restrictions like the economic, the political, the social and the cultural. However, we in the economic geography restrict ourselves to the free movement/flow of the goods, the services and the information in an economic or the commercial spatial sense within, outside and across a Given Political Region (GPR) like a nation-State.
The economic liberalization includes inter alia the component of the privatization. But, the privatization need not necessarily mean the liberalization because there may be the privatization and still there may not be any 100% liberalization at all. For example, the enlightened-capitalist economies like the USA and the UK display a near total privatization in all the sectors of the economy. Still, one can't say firmly that these two nation-States are the fully liberalized ones. The reason is that there still exist the barriers and the restrictions on the movement of the free trade across their political boundaries like the high customs duties/tariffs and the quotas, etc.
To my mind, the ideal model of the economic liberalization essentially includes an absolutely free flow of the goods, the services and the information within, outside and across the political boundaries of a GPR. It stands in sharp contrast to the process of the restrictization which entails the restrictions on the free flow of the goods, the services and the information.
The Economic Liberalization Model (ELM) aptly illustrates the whole gist of the discussion we have had so far.
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