by Till today there is a widespread presumption that Neoliberalism (NL) is the dominant political-economic paradigm in the West but also in the greater part of the world. This paper argues that this is not so and that since the beginning of the 21st century NL has fallen from grace and has been replaced by the equally conservative New Keynesianism (NK) with the New Macroeconomic Consensus (NMC). The fundamental sign of this transition is the widespread and growing state economic interventionism that characterise even that were considered the bastions and proponents of NL. The new dominant economic paradigm is equally conservative and anti-labour with its predecessor. But it differs fundamentally as it is inspired by a distinct perspective – Social Liberalism – and proposes
Topics:
Stavros Mavroudeas considers the following as important: ascent of New Keynesianism, capitalism, end on neoliberalism, Uncategorized, Western Left, Εισηγήσεις σε επιστημονικά συνέδρια - Papers in academic conferences
This could be interesting, too:
Lars Pålsson Syll writes Best advice to an aspiring economist — don’t be an economist!
Joel Eissenberg writes Dental health and mental health
Asad Zaman writes Newton’s lost revolution: Why his most radical work remains unread
John Quiggin writes Dispensing with the tech-bros
Till today there is a widespread presumption that Neoliberalism (NL) is the dominant political-economic paradigm in the West but also in the greater part of the world. This paper argues that this is not so and that since the beginning of the 21st century NL has fallen from grace and has been replaced by the equally conservative New Keynesianism (NK) with the New Macroeconomic Consensus (NMC). The fundamental sign of this transition is the widespread and growing state economic interventionism that characterise even that were considered the bastions and proponents of NL.
The new dominant economic paradigm is equally conservative and anti-labour with its predecessor. But it differs fundamentally as it is inspired by a distinct perspective – Social Liberalism – and proposes essentially different economic policies.
The structure of this paper is the following. The next section presents empirical and bibliographical evidence of NL’s downfall and its dethronement by NK. The third section explains why this false perception of NL dominance persists. It attributes it to two factors. The first factor is the use of the term NL as a leitmotiv; which implies the lack of accurate definitions and very fuzzy and problematic understandings. The second factor (and related to the first) is the abandonment of class politics by the Western Left and its subservience to bourgeois internal conflicts. This led to broad anti-NL coalitions of inter-class nature and under bourgeois hegemony, which essentially helped the ascent of conservative NK. The fourth section offers an accurate definition of NL and its variants. It places particular emphasis on issues of economic policy. The sixth section explains the reasons for NL’s downfall. The seventh section analyses NK and the NMC. Finally, the last section concludes.