Subjects Archives: Political Economy

  • Kirchner Rescued Argentina’s Economy, Helped Unite South America

    The sudden death of Néstor Kirchner today is a great loss not only to Argentina but to the region and the world.  Kirchner took office as president in May 2003, when Argentina was in the initial stages of its recovery from a terrible recession.  His role in rescuing Argentina’s economy is comparable to that of […]

  • Chronicles of Insurrection: Tronti, Negri and the Subject of Antagonism

    Once I went to May Day.  I never got workers’ festivities.  The day of work, are you kidding?  The day of workers celebrating themselves.  I never got it into my head what workers’ day or the day of work meant.  I never got it into my head why work should be celebrated.  But when I […]

  • 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 […]

  • Economics, Ideology, and Imperialism

      Prof. Prabhat Patnaik, eminent Marxist economist, taught in CESP-JNU (Centre for Economic Studies and Planning, Jawaharlal Nehru University) over the last four decades.  He has been one of the most outstanding economists in India and a great teacher.  He has retired from JNU recently.  On the occasion of his farewell, the students of CESP […]

  • Ten Theses on New Developmentalism

    On May 24 and 25 of 2010, a group of economists sharing a Keynesian and structuralist development macroeconomics approach convened in São Paulo to discuss ten theses on New Developmentalism — the name that some of them have been using for some years to describe the national development strategy that middle income countries are today […]

  • G20: The United States and Neo-mercantilism

    Here comes the travail of crisis.  The more they talk about coordination, the more it becomes necessary to concentrate on the conflicts revealed by the very talk of coordination.  The G20 finance ministers’ meeting, held in South Korea on Friday, has already been mortgaged by the case opened by US Treasury Secretary Timothy Geithner regarding […]

  • The Paradox of Capitalism

    John Maynard Keynes, though bourgeois in his outlook, was a remarkably insightful economist, whose book Economic Consequences of the Peace was copiously quoted by Lenin at the Second Congress of the Communist International to argue that conditions had ripened for the world revolution.  But even Keynes’ insights could not fully comprehend the paradox that is […]

  • French Protesters Have It Right: No Need to Raise Retirement Age

    The demonstrations that have rocked France this past week highlight some of its differences from the United States.  This photo, for example, shows the difference between rioting in baseball-playing versus soccer-playing countries.  In the U.S., we would pick up the tear gas canister and THROW it — rather than kick it — back at the […]

  • Playing the Currency Blame Game

    The slanging match over currency and monetary policies at the annual Fund-Bank meetings, held over the second weekend of October, points to the disarray in global economic governance.  While the US sought to mobilise IMF support for an effort to realign exchange rates and ensure an appreciation of the renminbi in the wake of China’s […]

  • The Myth of Expansionary Fiscal Austerity

    Introduction Recently governments, economists, and international financial institutions have been debating the merits of further fiscal stimulus to combat the Great Recession versus fiscal austerity or “adjustment” — that is, higher taxes and/or lower government spending — to combat budget deficits.  Some supporters of austerity have gone as far as arguing that fiscal adjustment could […]

  • Recycling Global Imbalances

      Is the United States at long last getting serious about global imbalances, or are we risking currency wars that can end in unmitigated disaster for all?  No one knows, though tension is on the rise with China.  This much is certain: Any advantage from a lower currency is a zero-sum gain for the world […]

  • 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 […]

  • The Empire from Inside (Part Five)

    CHAPTERS 28 and 29 Obama came down from the residence and saw Biden.  Biden advised him:  “What you’re about to do is a presidential order; it is no longer an issue of continuing a discussion. This is not what you think. This is an order. Without them, we’re locked into in Vietnam”. Obama answered: “I’m […]

  • 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 […]

  • Riding Capitalism to the Bottom: Why Republicans Gain as the Economy Falters

      Overlooked in the recent rise of the Tea Party and the Republican Right is the way these groups have learned how to grow and thrive on the failures of capitalism.  The Democrats, in contrast, remain tied to its successes.  With capitalism performing particularly poorly at present, it is no wonder that the Right is […]

  • Currency Wars and Global Rebalancing

      Guido Mantega, the Brazilian Finance Minister, said recently that Brazil is in the middle of a currency war.  His preoccupation with exchange rate appreciation is not directed to global imbalances, in general, or China, in particular.  A more depreciated currency provides protection for domestic production and makes domestic goods and services cheaper for foreigners. […]

  • Historical Materialism Middle East Special Issue

      Historical Materialism has extended the deadline for proposal submissions to its special issue on the Middle East, conceived broadly to include: the Arab world from the Atlantic to the Gulf, Israel/Palestine, Iran and Turkey.  The new deadline for abstracts is the 10th of November 2010. HM is a Marxist journal, appearing four times a […]

  • From Sugar to Services: An Overview of the Cuban Economy

      Summary: In 1989, services comprised no more than 10 per cent of Cuba’s export revenues, with sugar accounting for over 70 per cent.  In 2007, by contrast, it was sugar that made up 10 per cent of overseas earnings while services accounted for 70 per cent.  The article provides an overview of this drastic […]

  • Brazil: Lula’s Labour Legacy

      When Time magazine awarded Brazil’s President Lula the most influential world leader spot in its 2010 ranking of most influential people, Michael Moore, who wrote the excerpt on Lula, heralded the creation of the Bolsa Familia programme as well as the expansion of public education and health care.  These are important achievements, but one […]

  • Just Say No to the U.S.-Korea Free Trade Agreement

      The free trade push has begun again.  Both U.S. President Barack Obama and South Korean President Lee Myung-bak are calling for ratification of the U.S.-Korea Free Trade Agreement, which was signed by the two countries’ trade representatives in April 2007 but has yet to be approved by either the U.S. Congress or the South […]