sep 232011
 

Bernanke chooses deflation MacroBusiness

What might a Greek default look like? (BBC News) see also Merkel Lessens Fears Over Greece (WSJ)

European Stocks Slide on Fed View of Economy Bloomberg

The not-so-fearless Fed? FT Alphaville

Volcker Rule May Lose Its Bite Wall Street Journal

S&P: Accounting Rule Cld Boost Lrg US Banks’Assets By Ave 68% Deutsche Borse.

Why ‘Occupy Wall Street’ makes sense Amy Goodman, Guardian

Yahoo blocked e-mails about Wall Street protests CNET

Only the most educated 3% saw wage gains between 2000 and 2010 Daily Kos

Faith in the free market Economist

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sep 192011
 

Euro Bulls Capitulate After Trichet Comments Bloomberg

Merkel and euroskeptic allies beaten in Berlin Reuters

UBS says trader hid loss with fake deals Financial Times.

Protest Closes Off Wall Street Roads Wall Street Journal and Media Blackout – Thousands peacefully protest Wall Street, No media coverage You Tube

Global recovery in danger of skidding off course Financial Times

Not Too Big to Fail. Be prepared to enter an alternative universe.

Another View: Why wage war against the working poor? Flint Journal

Inside the Trillion-Dollar Underground Economy Keeping Many Americans (Barely) Afloat in Desperate Times Alternet

Poverty In America: A Special Report Economic Collapse

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sep 182011
 

Crise de la dette : l’Europe réplique aux Etats-Unis Le Monde

China to ‘liquidate’ US Treasuries, not dollars – Telegraph

Why Supply Side Economics Won’t Solve the Current Economic Malaise (The Big Picture)

Troubling Trends: Income Inequality and Poverty (Sociological Images)

What Next For Greece And For Europe? Simon Johnson

Glimpses of the Next Great Famine Nicholas Kristof, New York Times

U.S. Economy: A Lost Decade Into The Great Middle Class Poverty? EconMatters

Standard and Poor’s US Downgrade Shock Doctrine; Lather, Rinse, Repeat Jon Walker, FireDogLake

The doofus factor Economist

If Frank Bruni Knew Arithmetic He Wouldn’t Write Columns Like This One Dean Baker

Police block ‘Occupy Wall Street’ protesters Raw Story

William Black: Why Nobody Went to Jail During the Credit Crisis New Economic Perspectives

The $2 Billion UBS Incident: ‘Rogue Trader’ My Ass Matt Taibbi

UBS ‘Rogue’ Trading Lasted 3 Years Wall Street Journal

European finance ministers ignore US Treasury Secretary Tim Geithner’s warning of ‘catastrophic risk’ over debt crisis Telegraph

Advice on Debt? Europe Suggests U.S. Can Keep It New York Times

UBS Faces Questions on Oversight After a Trader Lost $2 Billion New York Times

Recession Job Losers Take Bigger Hit to Future Earnings Wall Street Journal

Killing Jobs and Making Us Sick Joe Nocera, New York Times

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jun 042011
 

Recensie voor:

- A short History of Neoliberalism (David Harvey)
- The Shock Doctrine (Noami Klein)
- Inside Job (Charles Ferguson)

Auteur: Sherry Ortner / Bron: http://aotcpress.com

I begin with Marshall Sahlins’s little koan because I remember being somewhat mystified myself by the shift in terminology around the year 2000, from “late capitalism” to “neoliberalism.” Writing this brief review essay has given me the opportunity to think about this, and to suggest an answer.[1] In addition I am interested in bringing together some of the grand narratives of neoliberalism on the one hand, and a range of ethnographic work on the other. I apologize in advance for a certain U.S. bias in the discussion.

From one point of view, there is no hard-and-fast distinction between late capitalism and neoliberalism, and in many ways neoliberalism is simply late capitalism made conscious, carried to extremes, and having more visible effects. The real break is generally agreed to have been between the kind of capitalism in place in the U.S. from about the 1940s to the 1970s (there is no established term for this; Lash and Urry [1987] call it “organized capitalism”), and what came after (i.e., late capitalism or neoliberalism). This break involves two somewhat interrelated shifts. The first is a shift from a so-called Fordist to post-Fordist framework defining the relationship between capital and labor: under Fordism there was a kind of truce between capital and labor, and (organized) labor did fairly well in terms of pay and job security; under post-Fordism, the truce is over, and labor has become dispensable, disposable, and replaceable. The second is a shift from a Keynesian theory of the relationship between the government and the economy, to a post-Keynesian (“neoliberal”) theory: under Keynesianism, the government was expected to play a role in regulating the economy and in sustaining social programs for the general well-being; under post-Keynesianism/neo-liberalism the government is supposed to do neither (key texts from this period were Mandel 1978, Harvey 1989, and Lash and Urry 1987).[2]

But if late capitalism and neoliberalism are two names for more or less the same set of changes in the capitalist system, the terminological shift from the first to the second signals – I suggest – a change in the story or narrative in which the changes in question are embedded. The phrase “late capitalism,” which was the dominant term in the 1980s and 90s, was embedded in a narrative of “globalization,” a concept that had positive as well as negative aspects, while “neoliberalism,” which has become the dominant term since about 2000, is embedded in a much darker narrative, a story of a crusade powered by ideology and/or greed, to tilt the world political economy even more in favor of the dominant classes and nations.

I want to make it clear that the economy known as “late capitalism” in the 80s and 90s was not really much more benign than the economy we now call “neoliberalism.” Either/both emerged from the dual turn from Fordism and Keynesianism, that is, from the metaphoric social contracts that had protected industrial labor as well as the citizenry in general from the worst excesses of capitalism. But in the 80s and 90s, accounts of late capitalism were closely tied up with “globalization,” and while globalization was certainly understood to have its down sides (labor outsourcing, unemployment, and deindustrialization[3] at the sending end; extreme labor exploitation at the receiving end, etc.), there was also a fairly influential set of arguments about the ways in which other aspects of globalization (flows of technology, information, media, etc.) could be seen as positive and liberating (see especially Appadurai 1990). Globalization remains real and indeed as multi-layered and multi-valent as ever (see Hannerz 1996; Inda and Rosaldo 2002; Tsing 2005). But neoliberalism is now embedded in a different, and more consistently dark, set of stories, to which we now turn.

NEOLIBERALISM: THE BIG PICTURE

On the recommendation of a friend, I picked up a copy of Naomi Klein’s The Shock Doctrine: The Rise of Disaster Capitalism (2008) in Heathrow Airport a year or so ago, and read it on the long flight back to Los Angeles. The book gave me nightmares.

Klein tells the story, in deep and extensive detail, of an ideologically driven and often quite intentional campaign of “erasing and remaking the world” (2008:3) on the part of a network of true-believer neoliberal economists and politicians. The book reads like a John Le Carré novel, in which concealed nefarious forces seek world domination, and in fact Le Carré wrote a blurb for the cover. The sober academic might feel the book has a certain paranoid tinge, especially since it starts with some mind-control experiments funded by the American government during the Cold War. But keep reading. When Klein gets into the well-researched and highly specific details of particular cases of economic “shock therapy” that have been imposed on many countries (and some cities) of the world, with mostly disastrous results for almost everyone but the very rich and the banks, the reader comes to know in his or her gut what “neoliberalism” is all about.

By the phrase “disaster capitalism” in her title, Klein means not only the general ways in which extreme free-market capitalism is an economic disaster for many people and countries, but the more specific fact that real disasters (the debt crisis of New York City in the 70s, the collapse of the Soviet Union in 1989, Hurricane Katrina in 2005) are explicitly seen as the best breeding grounds and opportunities to transform old economic regimes into neoliberal ones. A large part of “transforming old economic regimes” involves selling off state-operated properties, goods, and institutions to private buyers, and replacing those state operated entities with private, for-profit ones. In the wake of Hurricane Katrina, for example, the city of New Orleans was persuaded to sell virtually the entire public school system to private, for-profit operators. Discussing the New Orleans case as her opening example, Klein sets up the premise of the book: “I call these orchestrated raids on the public sphere in the wake of catastrophic events, combined with the treatment of disasters as exciting market opportunities, ‘disaster capitalism’”(p. 6).

If social or natural disasters do not offer themselves up, Klein shows convincingly that they will be manufactured, the war in Iraq being the latest case in point. Let us follow the Iraq war thread into David Harvey’s 2007 book, A Short History of Neo-Liberalism, where it is his opening example. Like Klein, Harvey sees “the management and manipulation of crises” (p. 162), whether floods, wars, or financial melt-downs, as part and parcel of establishing the neoliberal agenda. And like Klein, he provides abundant evidence to show that the war in Iraq was a crisis manufactured to “impose by main force on Iraq… a state apparatus whose fundamental mission was to facilitate conditions for profitable capital accumulation”(p. 7).

Harvey offers a clear definition of neoliberalism as a system of “accumulation by dispossession,” which has four main pillars: 1) the “privatization and commodification” of public goods; 2) “financialization,” in which any kind of good (or bad) can be turned into an instrument of economic speculation; 3) the “management and manipulation of crises” (as above); and 4) “state redistribution,” in which the state becomes an agent of the upward redistribution of wealth (159-164 passim).

Harvey places particular emphasis on the last point, the upward redistribution of wealth. He takes issue with other writers who argue that the enormous growth of social inequality since the beginnings of neoliberalization in the 1970s is an unfortunate by-product of what is otherwise a sound economic theory. Instead Harvey sees the vast enrichment of an upper class of capital owners and managers at the expense of everyone else as an intrinsic part of the neoliberal agenda: “Redistributive effects and increasing social inequality have in fact been such a persistent feature of neoliberalization as to be regarded as structural to the whole project.” (p. 16).

Continue reading »

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feb 192011
 

- Heftige beelden, leger Bahrein maait vreedzame demonstratie neer … ‘Libische leger beschiet demonstranten vanuit helikopters’  (joop.nl)

- ‘Libische scherpschutters schieten vijftien mensen dood bij begrafenis’ (NRC)

- Demonstranten bestormen de straten terwijl de politie zich terugtrekt (CNN)

Protest Libië

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dec 232010
 

- New Zealand Deleverages

Following Standard and Poor’s November downgrading of New Zealand’s sovereign credit rating from AA+ stable to AA+ negative, the New Zealand Government recently warned that its budgetary situation has worsened amid deleveraging by New Zealand households

Bron: unconventionaleconomist.com

- The End of Europe as We Know It?

Riots are as Greek as olive and feta pie (look at 2008), while France has a proud tradition of civil disobedience. The UK also has a good history of protest, although in recent years we’ve refrained from violence

Bron: Neuroskeptic

- Global wage growth cut in half

The only time I’ve had more money than I could spend was in Warsaw in the 1980s. You had to change a certain sum from hard currency into zlotys for each day on the visa, and though I like a nice tin of sardines or an attractive wood carving as much as the next man, the thrill starts to fade after a while.

Bron: http://oecdinsights.org/

- Na anderhalve week weer van de PVV-lijst gehaald

Ze (Kitty Nuyts) stond zesde op de PVV-lijst voor de Statenverkiezingen. Een tv-gesprek later is ze weer weg.

Bron: Volkskrant

- Hard Currencies, Soft Heads

Oh, wow: it seems that European hard-money types really are proposing Latvia as a model for Ireland to emulate. The line goes like this: sure, Iceland has begun to recover, but so have Latvia and Estonia, even though they held their currencies firm. To quote from the article — which is bluntly titled Irish should look to Baltics, not Iceland:

Bron: Paul Krugman Blog

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dec 112010
 

- A special report on China’s place in the world (The Economist)

- China’s Inflation Tops 5%, Adding Pressure for Wen to Raise Interest Rates (Bloomberg)

- What Is Wrong With Cutting Taxes? (Simon Johnson Baselinescenario)

- Hackende Wikileaks-sympathisant langer in cel (Trouw)

- Independer en de onafhankelijkheid (NOS)

- British student left with brain injury after police attacks on fees protest (wsws.org)

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