the father of Burmese socialism (Houtman, 1999). Furthermore, the military decided that
more money could be made in a free market economy (Lintner, 2009).
The Burmese economy, referred to as the Burmese Way to Capitalism, at its
conception and in its present-day form, is a military-dominated economy. Following the
collapse of socialist and communist states worldwide at the end of the Cold War, a
socialist economy was no longer a viable option for the Burmese military, particularly
from a global standpoint. Instead, it turned to what was termed a “disciplined democracy”
with a capitalist economic design in order to maximize its prominence in Burmese
society. In reality, Ne Win and the BSPP had a covert aim to centralize the economy so
the Tatmadaw could exercise control either directly or indirectly through militaryaffiliated businesses (Houtman, 1999).
At this time it also became clear that isolationism was less advantageous than
previously established. Under the SLORC regime (late 1980s and early 1990s), China
had been Burma’s sole international business and economic partner. In the years leading
up to Burma’s so-called “transition,” the military-state became acutely aware of the
disadvantages of relying on a single source of trade and foreign direct investment. Like
the SLORC regime’s abandonment of socialism for capitalism, the SPDC began to step
further away from isolationism in order to reap the benefits of an open domestic market
that participated in the global economy.
The centralized Burmese state created more personal autonomy and greater
economic advantages, but the distribution of those opportunities was far from uniform
given the 20 years of international economic sanctions as well as mismanagement by the
central government. Military holding companies—crucial actors economically and
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