Applied to the sovereign state in 1651. Today, used to criticize government and political processes (dangers of expanding public sector) Business" prefer more conservative, right wing governments. Promise expenditure cuts, privatization of crown corporations, openness to suggestions by individual executives and trade associations. Only lasts in the short run (like the honeymoon phase of a marriage) Businesses are unable to contribute broader decisions regarding growth and effectiveness of government and economic nationalism. Government influence in the private sector is grossly understated through conventional means of measuring economic activity. 2. 0 total government spending, g, is significant portion of gnp (more than in the us, but less than in western europe) Ratio of g to gnp continues to increase dramatically. Transfers to other levels of government (cancels out when measuring gnp) Result in significant changes in fiscal role of different levels of government.