The IMF managing director Kristalina Georgieva has now openly admitted that the year 2023 will witness the slowing down of the world economy to a point where as much as one-third of it will see an actual contraction in gross domestic product. This is because all the three major economic powers in the world, the US, the European Union, and China, will witness slowdowns, the last of these because of the renewed Covid upsurge. Of the three, Georgieva believes, the US will perform relatively better than the other two because of the resilience of its labour market; indeed the greater resilience of the US labour market provides some hope for the world economy as a whole.
There are two ironical elements in Georgieva’s remarks. The first is that the best prospects for the world economy today, even the IMF concedes if only implicitly, lie in workers’ incomes in the US not falling greatly. For an institution that has systematically advocated cuts in wages, whether in the form of remunerations or of social wages, as an essential part of its stabilisation-cum-structural adjustment policies, this is a surprising, though welcome, admission. Of course Georgieva, many would argue, is seeing US labour market resilience only as the result of US’s economic performance and not as its cause. But her considering it a “blessing” (though not an unmixed one for reasons we shall soon see) leaves one in no doubt that the demand-sustaining role of workers’ incomes is also being recognised by her.
This week, the jamboree of the rich global elite of the World Economic Forum (WEF) has started again after the COVID interregnum. Top political and business leaders have flown in on their private jets to discuss climate change and global warming, as well as the impending global economic slump, the cost of living crisis and the Ukraine war.
Two-thirds of respondents in a new USA TODAY/Suffolk University poll say the country has gotten off on the wrong track, and they express little confidence in either political party or any branch of government to effectively address the challenges they see ahead.
In the 1970s, I met one of Hitler’s leading propagandists, Leni Riefenstahl, whose epic films glorified the Nazis. We happened to be staying at the same lodge in Kenya, where she was on a photography assignment, having escaped the fate of other friends of the Fuhrer.
She told me that the ‘patriotic messages’ of her films were dependent not on ‘orders from above’ but on what she called the ‘submissive void’ of the German public.
Did that include the liberal, educated bourgeoisie? I asked. ‘Yes, especially them,’ she said.
I think of this as I look around at the propaganda now consuming Western societies.
Bristol, Bristol University Press, 2021. x+230 pp., € 26.10 pb. ISBN 978-1529211672
Reviewed by Thomas Klikauer
Carl Rhodes’ latest book about ‘Woke Capitalism’ is asking us to ‘be alert’, i.e., woke to capitalism. The title of the book is transferring the African-American term ‘woke’ meaning to be alert about racism and racial prejudice – to capitalism. Yet, woke capitalism is a particular form of capitalism. To illuminate this and how woke capitalism sets up corporate morality – a contradictory term or tautology – is indeed ‘sabotaging democracy’ (the book’s sub-title), Rhodes offers thirteen highly readable and often rather entertaining chapters. The book begins with ‘The Problem of Woke Capitalism’ and ends with ‘Getting Woke about Woke Capitalism’.
Housing for the common citizens is a chronic problem in capitalist economy. This is a widely discussed and researched issue. Yet the economy fails. In one sense, it is not the economy’s failure. Rather it is one of the characters of the economy.
The following reports from the U.S. tell about the housing reality. This is a face of the economy with huge resources.
A Hailey, Idaho datelined report by The New York Times (“A Town’s Housing Crisis Exposes a ‘House of Cards’”, July 31, 2022) said:
‘Near the private jets that shuttle billionaires to their opulent Sun Valley getaways, Ana Ramon Bartolome and her family have spent this summer living in the only place available to them: behind a blue tarp in a sweltering two-car garage.
Western governments and corporations met in Switzerland to plan harsh neoliberal economic policies to impose on post-war Ukraine, calling to cut labor laws, “open markets,” drop tariffs, deregulate industries, and “sell state-owned enterprises to private investors.”
While the United States and Europe flood Ukraine with tens of billions of dollars of weapons, using it as an anti-Russian proxy and pouring fuel on the fire of a brutal war that is devastating the country, they are also making plans to essentially plunder its post-war economy.
Representatives of Western governments and corporations met in Switzerland this July to plan a series of harsh neoliberal policies to impose on post-war Ukraine, calling to cut labor laws, “open markets,” drop tariffs, deregulate industries, and “sell state-owned enterprises to private investors.”
Ukraine has been destabilized by violence since 2014, when a US-sponsored coup d’etat overthrew its democratically elected government, setting off a civil war. That conflict dragged on until February 24, 2022, when Russia invaded the country, escalating into a new, even deadlier phase of the war.
ESG investment funds, which claim to invest according to environmental, social and governance criteria, grew to almost US$3 trillion in 2021. With a 53% increase since 2020, this made ESG the fastest growing sector of the asset management industry.
EDITED BY LORENZO FUSARO AND LEINAD JOHAN ALCALÁ SANDOVAL – CONTRIBUTIONS BY ROSSANA CILLO; LUIS FELIPE DOCOA; ROBERTO FINESCHI; ABELARDO MARIÑA FLORES; LORENZO FUSARO; CARLOS ALBERTO DUQUE GARCÍA; SERGIO CÁMARA IZQUIERDO; MATARI PIERRE MANIGAT; LUCIA PRADELLA; WILLIAM I. ROBINSON; SIBYL ITALIA PINEDA SALAZAR AND LEINAD JOHAN ALCALÁ SANDOVAL
This edited collection engages with Marx’s General Law of Capitalist Accumulation, examining the relevance and actuality of Marx’s propositions for the analysis of contemporary capitalism in Latin America and beyond. The contributors offer an original and updated interpretation of Marx while also examining important topics in political economy. The contributors bring critical insights into scholarly debates on imperialism, exploitation, labor, and development.
It’s been a big week for the major central banks. First, the European Central Bank (ECB) called an emergency meeting because government bond yields were rising sharply in the more indebted Eurozone economies like Italy and Spain. That threatens to deliver a new sovereign debt crisis as happened after the Great Recession from 2010-2014, leading to the Greek nightmare.