In what may be a sign of a "shifting zeitgeist," a new paper published this week by economists with the International Monetary Fund questions the very neoliberal policies the body has imposed.
Sure, I believe that the IMF is about to support policies that redistribute wealth from the top 1% to the rest of us. Snicker, cough, cough. This information is nothing new even at the IMF. There was an article here at CD that linked to the IMF's MUA back before the IMF helped Greeced the wheels of that country's economic train wreck. Had you read it, you would have noticed that it explicitly stated that promoting growth in the country (Greece) was not part of their agenda.
Although a great many people have known this for many decades the IMF either could not see it or would not admit it until so much massive harm had been done that there was absolutely no way to ignore the reality without sounding completely stupid. Color me NOT impressed by this report.
This helps demonstrate what a complete farce this so called "science" called Economics is.
It all a crock. I have neither a Nobel prize in Economics nor a degree from Harvard but could have told these "economists" 20 years ago that the stuff they were spewing was a crock as could have a good many people here.
As could my father who only got to grade 6 .
So the fiscal elites are coming full circle back to what Ford discovered over a century ago: That if he didn't pay his workers a decent wage, they wouldn't have enough income to purchase his product (the car).
Now, with global economies shrinking since, as the Piketty Study proved, most wealth went ONLY to the top of the financial "food chain," the elites realize that this policy of uber-contraction will eventually kill the goose that laid their golden egg.
Perhaps some redistribution will be allowed. That might even incline the Deep State power-brokers to go forward with a H.Clinton indictment, and realizing that Biden has no major support or charisma, grant the throne to Sanders.
Spain's Indignados are gaining some representation. England has Jeffrey Corbin, and while Canada's Trudeau is more a Liberal than a Progressive, it's still an improvement over Harper.
Greece would have been way better off had they Grexited from the EU, booted out the IMF and the german banksters and relied on their own power. But Greeks squandered that golden opportunity when the eyes of the world was upon them. Greece chickened out so now it'll have to deal with the inevitable consequences and get back to the end of the line.
Maybe the recognition that failed neoliberal economics endanger the future of capitalism is motivating them. Either way, such a turn is long overdue.
The bosses of these "economists" which wrote the report knew all along that neoliberalism was meant to increase inequality. What has really developed here is something else. Maybe it was an IMF distraction that will be later retracted, or, as xrose says above, the bosses must have realized that if the inequality gets extreme enough there won't be any useful money circulating around in the real economy and the financiers will have nothing left to hoard, and all that will be left will be angry hordes with pitchforks and next time there will be no Obama available to save their ass.
Thanks Siouxrose11. I'd like to jump in here and say that Keynesian Economics is valuable because it uses a kind of reverse psychology that spending on infrastructure in a down cycle is beneficial, so Greece, in a better world, should be getting total support from World Banking at this point rather than destain. I 'm hopeful that the some in the IMF are begining to understand that their business as usual is failing big time. Real Public Banking, removed from speculative investment is the solution...
The IMF, world bank, federal reserve, et al are all tentacles of the same US banking industry owned by a handful of ultra wealthy and powerful crime families. The US on behalf of the crime families operates like the MAFIA. These major criminals are getting nervous about the come back kid Putin standing up for his country. The military and economic cooperation between Russia, China, India, Iran, Brazil (coup de eta), Syria and Iraq has shocked the shit out of the mega wealthy US tyrants. Obama has dutifully built a ring around both Russia and China and edging dangerously too close to the Russian borders. The recent announcement of the missile systems installed in Romania and Poland are making the Russians very nervous and rightly so. Under our Nobel peace prize winner Obama who in 2009 declared a reduction in the US nuclear arsenals the has spent 1 trillion dollars to build miniature nukes which our stupid generals are threatening to use as first strike weapons. The world is edging very close to a nuclear war but the candidates for the presidency plus the media are totally silent about the situation. Our military doctrine was changed under Bush to state that a first strike nuclear attack isn't taboo. Our military strategist's thinking that a nuclear war with Russia and China is winnable is maddening but the American public who will be victims of a nuclear holocaust are woefully ignorant and oblivious to their certain total annihilation.
The elite ivory league US institutions of higher learning produce deadly machines in human form.
The vast majority of economists are nothing more than servants and propagandists for the ruling class. They have a two-part job:
Produce theories to support the capital requirements and dictates of the ruling class, and
Propagandize these theories to the extent that the (majority of the) working class don't question the validity, integrity or intent of the theories presented.
While economists like to portray their discipline as “scientific” and “value free”, the reality is very different. It is, in fact, very far from a science and hardly “value free.” Instead it is, to a large degree, deeply ideological and its conclusions almost always support (by a strange co-incidence) what the wealthy, landlords, bosses and managers of capital want to hear. The words of Kropotkin still ring true today:
“Political Economy has always confined itself to stating facts occurring in society, and justifying them in the interest of the dominant class ... Having found [something] profitable to capitalists, it has set it up as a principle.” [The Conquest of Bread, Peter Kropotkin, p. 181]
Source: What Is Wrong With Economics?
Agreed, many (but not all) economists are part of the problem and not part of the solution.
Economics doesn't kill people, economists hired by killers kill people.
I count economists among those who have had a very positive influence on my life and the lives of the 99%. Michael Perelman, for example.
Excellent cite. This cite also references http://theanarchistlibrary.org/library/the-anarchist-faq-editorial-collective-an-anarchist-faq-04-17#toc1 which is also an excellent article.
They have said this before and nobody, certainly not governments, listened.
The key is that it is unsustainable and they could lose control. Exactly!
Of course Hillary is the neoliberal queen and Bernie is the door to throwing off this old and disgusting ideology that has wrecked this country. (It hasn't just been Republicans) Neocons have to go too with their war mongering sickness.
um, that's Jeremy Corbyn...
Both excellent citations as to the true nature of "economics". Thanks for your link.
The IMF is Neoliberal since decades ago, for information just ask Brazilians, Argentineans and other South Americans, as well as Southern Europeans.
Economic "sense" is inversely proportional to one's wealth.
There is, of course, a great deal more to the history of how economics became so wretched a field. A lot of it dates back to the early 20th century battles between Henry George and John Clark Bates, head of the economics dept. at Columbia Univ. (lavishly funded by J. P. Morgan). You can find a detailed account of what happened in a little-known book "The Corruption of Economics" by Mason Gaffney & Fred Harrison (1994), a synopsis of which may be found in "Supply Shock: Economic Growth at the Crossroads and the Steady State Solution," by Brian Czech. (2013). All of which is very sad, but true, and the story's not over yet ...