Following the US into Decline

[The new Australian government, elected in September, has refused to do anything to help to retain car manufacturing in Australia, and all three manufacturers (GM, Ford and Toyota) have now announced they will close within the next 2-3 years.]

trickle-downIt’s amazing the Abbott government can run such a market-fundamentalist industry strategy, to general acquiescence, in the face of so much obvious evidence of the profound damage the same strategy has done to the USA.

The free-trade doctrine has seen US industry hollowed out, and industrial jobs exported en masse, as US corporations moved their plants to countries with cheap labour and few environmental constraints.  The US used to have consistent trade surpluses, but since 1976 it has run enormous trade deficits that free-market policies have done nothing to reduce.  The trade deficit leaves the US indebted to the world, and increasingly dependent on China, which holds the most US debt.

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StE gets big plug in Australian Fairfax press

An article by Bob Douglas on the dire need for real political leadership prominently features Sack the Economists, along with a new book by prominent Australian economist Ross Garnaut, Dog Days: Australia After the Boom, the latter launched by prominent Liberal politician Malcolm Turnbull.  Tony Abbot deposed Turnbull as Leader of the Opposition in 2009, winning by one vote, otherwise Turnbull would probably now be Prime Minister.

See Bob Douglas’ article in the Sydney Morning Herald here.  It also appears in the Melbourne Age and the Canberra Times.

“Sack the Economists” on Real World Economic Review blog

A post on Real World Economic Review blog:

Non-mainstream economists are all-too aware of the failure of mainstream economists to anticipate, let alone avoid, the Global Financial Crisis and the ensuing Great Recession.  The mainstream profession is also failing to fix the problem, and is actually making it worse.

It is hard to get alternative views heard, and the mainstream carries on almost totally unperturbed, despite being centrally responsible for a global disaster.  This is of course extremely frustrating.

After reading yet another cri de coeur from yet another frustrated economist, I thought perhaps we need to spell out the message in all bluntness

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Sack the Economists on Steve Keen’s Debtwatch

Steve Keen has generously allowed me a guest post on his popular Debwatch website.

Read­ers of this blog will have encoun­tered the idea that near-equilibrium neo­clas­si­cal eco­nomic the­ory is irrel­e­vant to dynamic, far-from-equilibrium, real mod­ern economies, and that the body of the­ory built around the neo­clas­si­cal assump­tions is full of incon­sis­ten­cies. You will also be famil­iar with the idea that money and debt play cen­tral, dynamic roles in mod­ern economies.
Yet it can be argued there are other equally fun­da­men­tal flaws in the broader stream of the­ory and prac­tice that might be called main­stream eco­nom­ics.
– See more at: Debtwatch

The Pope on Inequality and Unfettered Markets

By Sam Pizzigati

In plain yet powerful language, Pope Francis is challenging the givens of our deeply unequal world — and helping inspire resistance to it.

A new exhortation from Pope Francis offers a wide-ranging condemnation of the economic gaps that divide us.

A new exhortation from Pope Francis offers a wide-ranging condemnation of the economic gaps that divide us.

Sometimes you don’t have to say anything “new” to make news. Consider, for instance, the “apostolic exhortation” the Vatican released last Tuesday.

This statement from Pope Francis, observers note, didn’t really break any bold new theological ground. But the Pope’s exhortation, the first all his own since he stepped onto the world stage last March, still made front pages the world over — and fully merited all that attention.

What makes this new papal statement so significant? No global religious figure has likely ever before denounced economic inequality with as wide-ranging — and as accessible — an assault.

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Sack the Economists now available

The ebook Sack the Economists and Disband their Departments is now available.

Mainstream economists completely failed to anticipate the financial market crash of 2007-8.  They then called it an unforeseeable event.  This is a clear admission that they don’t understand how economies work.  Yet many non-mainstream, marginalised economists gave clear warning of the approaching crash.  This book shows how mainstream economics has not one but many fundamental flaws.  It is not a science, it is pseudo-science.  It lacks scholarly rigour and integrity.  Once you understand this, it is not a mystery why the mainstreamers missed the approaching crash, nor why wealth is so unequally distributed, why we are so materialistic and unfulfilled, and why the planet is being destroyed.  But modern knowledge and systems ideas reveal market economies to be self-organising systems, and they can be managed to support dignified livelihoods in equitable societies that can survive into the indefinite future, with nature thriving along with them.

See more at the book’s web site, including how to purchase your copy.

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