Alternative Perspectives on the Global Financial Crisis
Edited by Steven Kates
Steven Kates The financial crisis that is spreading out from countries with the most ‘advanced’ financial systems to the rest of the world has not been well served by economic theory. Jan Toporowski (this volume, Chapter 13) This is a book about the global financial crisis and the economic theories that have been used first to understand its causes and thereafter to contain the damage it has brought. But it is more than that. It is a book about the inadequacies of the economic theories that are being used to deal with the present global economic meltdown. The one and only unifying feature of the articles collected together within these covers is that each and every one of the authors disagrees with the standard mainstream neoclassical macroeconomic models that have been applied in attempting to comprehend what has gone on and then, more importantly, have been used to devise policies to bring this recession to an end. This book is thus about the usefulness or otherwise of existing textbook economics to deal with the present crisis. But while all disagree with the standard mainstream model, it should also be understood that the various authors in this collection do not necessarily agree with each other. There is, in fact, a very wide disparity of views. The perspectives provided range across the entire breadth of economic theory from free market to highly interventionist. The intention in putting this collection together has been to provide a single platform for the different sets of...