Subjects Archives: Political Economy

For some time now, Mr. Ben Bernanke, Chairman of the Federal Reserve Board, has been arguing that three observed phenomena in the world economy in the decade after 1996, viz. the substantial increase in the U.S. current account deficit, the swing from moderate deficits to large surpluses in “emerging-market countries”, and the significant decline in […]

From 21 January to 2 February 2010, Eric Toussaint and Olivier Bonfond — both involved in alterglobalization activism and members of the International Council of the World Social Forum, of the world coordination of social movements, and of the Committee for the Abolition of the Third World Debt 1 — participated in various events and […]

  Interview by Aleix Bombila, for En Lucha (Spain), of John Bellamy Foster, editor of Monthly Review, and author of Marx’s Ecology and The Ecological Revolution En Lucha: In your book Marx’s Ecology you argue that Marxism has a lot to offer to the ecologist movement.  What kind of united work can be established between […]

Alan Greenspan has been judged the economist most responsible for causing the Global Financial Crisis.  He and 2nd and 3rd place finishers, Milton Friedman and Larry Summers, have won the first — and hopefully last — Dynamite Prize in Economics. In awarding the Prize, Edward Fullbrook, editor of the Real World Economics Review, noted that […]

  The current Greek economic crisis has an aspect of ancient tragedy (for the Greek people) mixed with a bad theatrical farce (staged on behalf of the European and the Greek bourgeoisie). The farce comes first.  Till very recently the two establishment parties (the center-left PASOK and the center-right ND) preached that their economic policies […]

Well before the global financial crisis finally broke in September 2008, most people in developing countries were already reeling under the effects of dramatic volatility in global food and fuel markets.  From late 2006, prices of most primary commodities first increased very rapidly, then collapsed even more sharply from their peaks in May-June 2008. This […]

At a Paul Winter concert (I think it was) one summer in the 1980s I somehow found myself backstage at Carnegie Hall beside a very tall man.  I looked up — as it turned out to be, both literally and figuratively — and was shocked to see who stood next to me.  “God bless you, […]

  The Brazilian expression “Greek Present” (Presente de Grego) means unwelcome gift, an obvious reference to the infamous Trojan Horse.  The current crisis in Greece might show that the euro was just one of those presents.  If the European Union (EU) does not provide sufficient resources to preclude not just a default, but also and […]

The President of Argentina, Cristina Fernández, recently fired the head of the central bank, Martín Redrado, when he rejected the government’s plan to use $6.6 billion of international reserves to pay off debt. The domestic and international press response was overwhelmingly negative, with complaints that this would “kill central bank independence.” Leaving aside the question […]

  The Democratic defeat in Massachusetts on the anniversary of the start of the Obama administration makes a fitting conclusion to the lessons that the last year should have taught everyone in this country.  The question is: will the lessons be learned, especially by left activists?  Let us try to see what these lessons are. […]

The capitalist world has experienced its deepest economic meltdown since the Great Depression of the 1930s.  Paradoxically, whereas the earlier period saw the breakdown of liberal capitalism, the rise of fascism and Nazism, and the Soviet alternative to liberal capitalism, today neo-liberalism and capitalist globalization still remain powerful, and apparently supreme, on the stage of […]

  For more information about the education crisis and the 4 March 2010 strike and day of action to defend public education in California, go to <checkingeducation.com>, <defendcapubliceducation.wordpress.com/>, or <www.facebook.com/event.php?eid=184333923808>. | | Print  

  In the United States, the mismanagement of the financial crisis, in particular the ill designed Troubled Asset Relief Program (TARP), has led to a wave of populist protests, and to a narrow confirmation vote for Bernanke.  In Argentina, where the recession was considerably milder than in the United States and had no financial cause, […]

In most parts of the world today (except perhaps in India, where optimism about the benefits of unregulated financial markets still seems to dominate over the undisputable evidence of their many fragilities) most policy makers talk about imposing regulations on the financial sector.  Of course, the events of the past two years in the world […]

Executive Summary: The Latvian recession, which is now more than two years old, has seen a world-historical drop in GDP of more than 25 percent.  The IMF projects another 4 percent drop this year, and predicts that the total loss of output from peak to bottom will reach 30 percent.  This would make Latvia’s loss […]

The Dynamite Prize in Economics, to be awarded to the three economists who contributed most to enabling the Global Financial Collapse (GFC), or more figuratively, to the three economists who contributed most to blowing up the global economy. Vote for three.  The candidates’ dossiers are below the ballot. View This Pollpolling Short List of Nominees […]

The gap between annual incomes of the top 10 per cent of US citizens and what the other 90 per cent gets has been widening sharply for the last 30 years.  The nation’s economic development has been increasingly divisive.  Professor Emmanuel Saez of the University of California at Berkeley, a leading expert, summarizes the facts […]

  If you want to be reminded of the myriad of ways in which markets fail, you will welcome the new and timely book by John Cassidy titled simply How Markets Fail.  Cassidy is not only an economist but a rare one who can write. Indeed, he writes so well that he is a regular […]

John Bellamy Foster is editor of Monthly Review and author of The Great Financial Crisis (2009, with Fred Magdoff) and The Ecological Revolution (2009) — both from Monthly Review Press.  This interview was conducted from Dhaka by Farooque Chowdhury (editor of Micro Credit: Myth Manufactured, 2007) for MRzine and Bangla Monthly Review.  It is part […]

The stunning win of a Republican novice in the Massachusetts Senate race to replace Ted Kennedy is well known.  It is being interpreted as a sign of Obama’s fading popularity and also as a sign that the US electorate wants more right-of-center policy.  To show the flaw in thinking that right-wing answers to the economic […]