Articles

Obama’s Master Class in Demagogy 101

July 25, 2013
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Yesterday President Obama chose Knox College in Galesburg, Illinois (originally founded by anti-slavery activists in the 1830s) to float the economic program he has been working out with Wall Street investment bankers. His aim is to wrap this program in a democratic rhetoric. The speech’s actual content boils down to: “I’m doing fine and...

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China – Avoid the West’s Debt Overhead: A Land Tax is needed to hold down Housing Prices

July 22, 2013
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How can China avoid the “Western financial disease” – a real estate bubble followed by defaults and foreclosures? The U.S. and European economies originally sought to avoid this fate by taxing the location’s site value. A rent tax was the focus of Progressive Era reforms. Enacting a rent tax remains China’s main challenge to...

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The Bubble Economy as a 2 part play for Privatisation

July 4, 2013
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As published in the latest World Economics Association digest, the Real World Economics Review The Federal Reserve’s QE3 has flooded the stock and bond markets with low-interest liquidity that makes it profitable for speculators to borrow cheap and make arbitrage gains buying stocks and bonds yielding higher dividends or interest. In principle, one could...

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Thatcher – ‘Sorry You’ve Lost Your Job’

April 9, 2013
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More at The Real News Edited transcript PAUL JAY, SENIOR EDITOR, TRNN: Welcome to The Real News Network. I’m Paul Jay in Baltimore. Former prime minister Margaret Thatcher has passed away, and of course around the world people are debating her legacy. Henry Kissinger said she was a great defender of Western interests. She’s...

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“Let us glory in our inequality.”

April 8, 2013
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Failed Privatizations – the Thatcher Legacy By Michael Hudson, a research professor of Economics at University of Missouri, Kansas City, and a research associate at the Levy Economics Institute of Bard College. His latest book is “The Bubble and Beyond”. This is from my book on privatization, written some 15 years ago, never published....

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Mrs. Thatcher’s Mean Legacy

April 8, 2013
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The Queen Mother of Global Austerity and Financialization Michael Hudson and Jeffrey Sommers We typically honor the convention to refrain from speaking ill of the recently departed. But Margaret Thatcher probably would not object to an epitaph focusing on how her political legacy was to achieve her professed aim of “irreversibly” dismantling Britain’s public...

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Wall St Burdens the Public Debt

March 25, 2013
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More at The Real News PAUL JAY, SENIOR EDITOR, TRNN: Welcome to The Real News Network. I’m Paul Jay in Baltimore. As the effects of the sequester agreement ripple through the American economy–massive cuts, that is, to social programs, and the military to some extent–one thing is clear: both sides–President Obama and the leadership...

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The Delicious Irony of Morris Greenberg’s AIG Suit Against the US Treasury

January 12, 2013
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When the financial bubble burst in September 2008, U.S. and European governments responded by shifting bank losses onto their own balance sheets. The pretense is that real growth cannot resume until the banks and speculators are “made whole.” To cover the cost of bailing out the banks, governments now are trying to run budget...

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Latvia’s Economic Disaster as a Neoliberal Success Story: A Model for Europe and the US?

January 3, 2013
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by Jeffrey Sommers and Michael Hudson A generation ago the Chicago Boys and their financial supporters applauded General Pinochet’s anti-labor Chile as a success story, thanks mainly to its transformation of their Social Security into Employee Stock Ownership Plans (ESOPs) that almost universally were looted by the employer grupos by the end of the...

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America’s Deceptive 2012 Fiscal Cliff

December 28, 2012
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How today’s fiscal austerity is reminiscent of World War I’s economic misunderstandings When World War I broke out in August 1914, economists on both sides forecast that hostilities could not last more than about six months. Wars had grown so expensive that governments quickly would run out of money. It seemed that if Germany...

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