The German taxpayers should be happy to have SYRIZA in Greece, says economist Yanis Varoufakis in an interview. Greece is not unwilling to reform. ZEIT ONLINE: Mr. Varoufakis, the Greeks say they want to keep the euro but vote for SYRIZA and its leader Alexis Tsipras, whose plan could lead to an exit from the […]
Author Archive | Yanis Varoufakis
Europe in Crisis: Interview with Yanis Varoufakis
“My experience of the last year and half during the acceleration of this crisis is that the worst enemy of reason and progress are social democratic parties. I say this painfully. There’s no glee in this statement.” — Yanis Varoufakis The Mess We’re In . . . The Future of Greece A Solution to […]
Beyond the Crisis: Markets, Planning, and a Utopian Vision Inspired by the American National Football League
The Crisis, especially in Europe, is all-consuming. Every day our minds are hijacked by its latest twist. Here in Athens, a general strike almost brought the government to its knees and has kick-started a process that will, inevitably, lead to what can only be described as regime change. While history is preparing the next regime […]
When Push Comes to Shove? Exposing the Empty Threat to Kick Greece Out of the Eurozone
A sword of Damocles, we are told, is hanging over Greece. Even the Greek EU commissioner says that Greeks must accept that their country will be run, nay micromanaged, by a committee of foreign creditors, or else Greece will be kicked out of the eurozone. This threat is found upon a flagrant lie. Greece cannot […]
On the Political Economics of Dominique Strauss-Kahn’s Political Death
What follows below is about the economic and political significance of the arrest of Dominique Strauss-Kahn (DSK hereafter), the Managing Director of the International Monetary Fund. It will say nothing about the merits (or lack thereof) of the charges against DSK. All cases of alleged sexual assault brought against high-profile men place two equally important […]
On the True Agenda behind Der Spiegel’s Story That Greece Is Thinking of Exiting the Euro
The Spiegel story that “Athens is considering withdrawing from the euro zone” is not exactly false — just economical with the truth. Yes, a few weeks or months ago, the Greek government commissioned (as it ought to) several secret studies of the repercussions of various scenarios involving different forms of debt restructure, including one desperate […]
The Euro Crisis as a Twin Recycling Problem: A New Rationale for the “Modest Proposal”
1. Introduction: The Twin Recycling Problems in Brief Europe’s crisis is caused by its institutional failure to confront two recycling problems: a debt recycling problem and a surplus recycling problem.
From Places Like Mine and Yours
On the progressive potential of small, quasi-autonomous states (like Scotland, Ireland, Greece, Portugal, etc.). . . . The strong Scottish accent was conspiring with the noisy pub background to make it difficult for me to understand the words spoken in my ear by an imposing trade union figure. Thankfully, I managed to decipher his words, […]
It’s the (German) Banks, Stupid!
Or what’s behind Germany’s hesitant statements on Greek debt restructuring, Ireland’s move against subordinated bondholders, and the ECB’s stance on interest rates. . . . Europe is at it again, trying to pretend that it has stemmed the tide of insolvency through its program of lending huge amounts of money (at high interest rates) to […]
They Don’t Make Them Like They Used To! Why Even the Best Post-war Economist Ended Up a Tragic Figure
The Crash of 2008 and its ghastly aftermath was not just an economic crisis but also a crisis aided and abetted by economics. Previously I have written about the Econobubble (the handmaiden of the “real” Bubble) and the toxic theories of economists who were very recently rewarded with the Nobel Memorial Prize in Economics. Following […]
Vital Space
Dear Friends, On this New Year’s Day we are launching Vital Space — an NGO and website that intends to cast an artistic eye on the great issues of our troubled age. Instead of another empty New Year’s resolution, we decided to take the initiative of creating a platform from which we can all (you, […]
Daniel Ellsberg: WikiLeaks Precursor and Unsung Foe of Neoliberal Economics
This is not the first time thousands of classified documents have been “liberated,” revealing to a stunned public how their government has waged a concerted war of disinformation against them for the purposes of bending their will to the demands of a pointless war: a war on the altar of which the deceived public are […]
A Modest Proposal for Overcoming the Euro Crisis
It is now abundantly clear that each and every response by the eurozone (EZ) to the galloping sovereign debt crisis has been consistently underwhelming. This includes the joint EZ-IMF operation, back in May, to “rescue” Greece and, in short order, the quite remarkable overnight formation of a so-called “special vehicle” (officially the European Financial Stability […]
The Globalising Wall
Walls have a longstanding relation both with freedom from fear and subjugation to another’s will. After 1945, walls acquired an unprecedented determination to divide. They spread like a bushfire from Berlin to Palestine, from the tablelands of Kashmir to the villages of Cyprus, from the Korean peninsula to the streets of Belfast. When the Cold […]
The Econobubble Revisited
In a recent article, I discussed the 2010 Economics Nobel Prize in rather unflattering terms. However, nothing beats the decision to award the 1997 Economics Nobel to Robert Merton and Myron Scholes for developing “a pioneering formula for the valuation of stock options.” “Their methodology,” trumpeted the Nobel committee, “has paved the way for economic […]
First as History, Then as Farce: The Euro Crisis Revisited
When the Crash of 2008 hit Wall Street, European capitalism was thrown into disarray. With the demise of the export-absorbing monster that was the US consumer market, what in 2003 Joseph Halevi and I called “The Global Minotaur” (see Monthly Review, Vol. 55), Europe not only lost a critical source of aggregate demand but also […]
Adding Insult to Injury: On the 2010 Bank of Sweden Economics Prize in Memory of Alfred Nobel
Imagine a world ravaged by a plague, and suppose that the year’s Nobel Prize for Medicine is awarded to researchers whose whole career is based on the assumption that plagues are impossible. The world would have been outraged. That is precisely how we should feel about yesterday’s announcement of the recipients of the 2010 Nobel […]
