"Development is basically an issue of politics. The starting point of this issue is the question of who has power in society. Is it the elite or the common folk? Capital or people? Market or society? Based on this view of political economics, Latin America's poverty is rooted in the problem of a very small elite with a hold over all the economic power..." So said Ecuadorian President Rafael Correa Delgado when he visited China lately.

President Correa delivered a speech at Tsinghua University on Jan. 7, 2015. He observed that in the past 30 years, many Latin American countries, including Ecuador, have been affected by trends of thinking on the new free economy, and have suffered from increasing foreign debt, dollarization, dereliction of central banks, and unfair treatment on free trade.

President Correa stressed that rather than focusing on economic growth, poverty reduction and equality should be the current goals. "The market is not the only solution to all economic and social problems. Relying on this 'invisible hand' has become something of a shibboleth. However, the 'visible hand', i.e. government' macro-regulation, should be employed regularly for a more balanced and healthier economy," he noted.

According President Correa, in the past 8 years, Ecuador has successfully transferred state power from a very small bourgeoisie to the people. From 2007 to 2014, Ecuador has enjoyed an average economic growth rate of 4 percent, while between 2006 and 2013 the poverty level dropped from 37.6 percent to 25.6 percent, with 1.136 million people lifting themselves from poverty. Ecuador is now the country in Latin America with the fastest economic growth, and the lowest poverty rate.

In President Correa's speech he also commented on the relationship between China and Ecuador. "Ecuador and China are sincere brothers," said Correa, emphasizing that in politics Ecuador respects China, and insists on the standpoint of “one China”, while in economic terms Ecuador and China have a high degree of cooperation in trade, imports and exports. China is now Ecuador's second largest trading partner, and Ecuador is also a major investment destination for China in Latin America. 

This article is edited and translated from 《厄总统：唯市场论是迷信 发展应以平等为目标》，source: People's Daily Online, authors: Zheng Qingting, Liu Xuxia,Yasef Ananda