October 1, 2004
It is obvious that humankind has arrived at a crucial turning point in its long history. Nuclear war could terminate the whole human enterprise. But even if this catastrophic ending can be avoided, it is by no means certain that the essential conditions for the survival and development of civilized society as we know it today will continue to exist
September 1, 2004
Two and a half years after its spectacular crash, Argentina seems to be entering a new political and economic phase. President Néstor Kirchner, elected in May 2003, has claimed that “the period of neoliberalism is over” and economic activity has recovered faster than generally anticipated. Payments are being made on a part of the debt held by favored creditors (above all the IMF), and international pressure to refinance and make payments on the defaulted debt has increased. Neoliberal economists remain totally discredited, but the Kirchner regime’s policy of partial payments on the debt, financed by revenues generated by severe restrictions on public spending, is applauded by a coterie of supposed “Keynesian” and “national” economists.… Questions remain: What happened to the external debt disaster? Is the enormous social crisis, for a moment extensively covered by the press and media, over? And even: Is Argentina, a neoliberal model in the 1990s of an “open, deregulated and privatized economy” now inaugurating a reverse miracle of a new type (perhaps to be termed Keynesian), a “national capitalism with a human face”?
�June 1, 2004
I want to address a very simple question: What keeps capitalism going? or, in the somewhat more technical language of Marxists, How does capitalism as a system reproduce itself?
�June 1, 2004
The growing inequalities we are witnessing in the world today are having a very negative impact on the health and quality of life of its populations. It is true, as many conservatives and neoliberal authors continue to stress, that health indicators are improving in many parts of the world, including in many underdeveloped countries. But what these authors are not saying is that the rate of improvements in these indicators have slowed down in most countries that have experienced a growth of inequalities, and in many of them, including the United States, these indicators have even reversed. According to the last report of the National Center for Health and Vital Statistics, infant mortality in the United Staes has increased, reversing the decline that had occurred since 1953.1 The growth of inequalities is thus bad for people's health. But why?
�May 1, 2004
Economic theory is not neutral, and the results when it is applied owe much to the implicit and explicit assumptions embedded in a particular theory. That such assumptions reflect specific ideologies is most obvious in the case of the neoclassical economics that underlies neoliberal economic policies
�April 1, 2004
Except in times of war, capitalist economies almost never reach full employment. The mere absence of jobs for those desiring paid employment, however, is not necessarily a problem for the ruling economic interests. Unemployment and the underutilization of labor more generally—the existence of what Marx called the industrial reserve army of labor—is a necessary part of a capitalist economy, since it keeps wages low as workers are forced to compete with each other for jobs. This becomes a serious problem for the system or for the political structure when the shortfall in employment coincides with a deeper structural crisis; when aggregate demand and thus investment opportunities are hindered by low employment and low wages; and when a shortage of jobs creates a political problem, sometimes even igniting popular opposition at the grassroots of society. All three of these contradictions are apparent in 2004, setting the stage for a national debate on the question of jobs, which more than three years since the beginning of the 2001 recession is now suddenly a front page story
�April 1, 2004
In the late nineties, the San Francisco Bay Area was caught up in the mania of the high-tech, information-based "New Economy." Venture capitalists threw money at e-commerce start-ups based on dicey premises, while loss-making companies raked in millions at their initial public offerings. In low income areas like the Mission District, dot-coms moved in, forcing out poor people whose only recourse was to organize themselves in anti-displacement coalitions and hope for the market to crash. In the fray, even a new type of gold digger emerged: women in search of nerdly adolescent millionaires with fat stock options. It was a stupefying time
�March 1, 2004
I once heard a discussion about the first sentences of books and those sentences that were among the most famous and most powerful. The opening of Gabriel Garcia Marquez's One Hundred Years of Solitude was among the most popular. David Bacon's first sentence in chapter one of his book must now rank among the most gripping: "NAFTA repeatedly plunged a knife into José Castillo's heart."
�February 1, 2004
The number of people living a precarious existence has been increasing in many countries of the world, with hunger all too widespread. There are approximately 6 billion people in the world, with about half living in cities and half in rural areas. Between the poor living in cities and those in rural areas, a vast number of the world's people live under very harsh conditions. It is estimated that that about half of the world's population lives on less than two dollars per day, with most of those either chronically malnourished or continually concerned with where their next meal will come from. Many have no access to clean water (1 billion), electricity (2 billion), or sanitation (2.5 billion)
�February 1, 2004
Capitalism is hundreds of years old and today dominates nearly every part of the globe. Its champions claim that it is the greatest engine of production growth the world has ever seen. They also argue that it is unique in its ability to raise the standard of living of every person on earth. Because of capitalism, we are all "slouching toward utopia,"—the phrase coined by University of California at Berkeley economist J. Bradford DeLong—slowly but surely heading toward a world in which everyone will have achieved a U.S.-style middle-class life
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