Chapter 15: The Economy and the Twenty-first Century
15. The economy and the twenty-ﬁrst century As this book is being written, the global economy is teetering on the worst global recession since the Great Depression of the 1930s. The terrorist attacks on the World Trade Center on September 11, 2001 were not only an attack on the American way of life, but were also a severe blow to the entire ﬁnancial capitalist world. The only question that remains is will the major capitalist economies again try to muddle through with the hope that a laissez-faire market system is the best of all possible worlds in this worst of times or will we use this troubled time to rebuild and strengthen the ﬁnancial capitalist system that is the best hope for a civilized global community that humankind has been able to devise. 15.1 THE POSITIVE ROLE OF GOVERNMENT In Chapter 1, we listed ﬁve key points that can be extracted from Keynes’s vision of the capitalist system. In the almost 70 years since Keynes wrote we still ﬁnd that the outstanding faults of the economic system in which we live are its failure to provide a job for everyone willing and able to work and its arbitrary and very inequitable distribution of income and wealth both nationally and globally. Moreover in recent decades, the mainstream of the economics profession has promoted this persistent unemployment ﬂaw to a positive virtue in its concept of a non-accelerating inﬂation rate of unemployment (NAIRU) instead of labeling unemployment for what it...
You are not authenticated to view the full text of this chapter or article.
Elgaronline requires a subscription or purchase to access the full text of books or journals. Please login through your library system or with your personal username and password on the homepage.
Non-subscribers can freely search the site, view abstracts/ extracts and download selected front matter and introductory chapters for personal use.
Your library may not have purchased all subject areas. If you are authenticated and think you should have access to this title, please contact your librarian.