Bring back cool reasonable voice of Keynes… in the FT
Tuesday 30th September, 2008.
Sir, Your editorial “In praise of free markets” (September 27/28) conflates regulation of trade markets with that of financial markets.
This is a flawed analysis, one at the core of most economic orthodoxy – that money, like land, oil, soya beans, diamonds or gold, is a commodity, and therefore that trade and markets in money are no different from markets in, say, soya beans.
Tags: Ann Pettifor, Banking crisis, Banking system, Credit Crunch, Financial Crisis, Globalisation, Paulson plan
Welcome to my blog about the financial crisis. I'm Ann Pettifor, author and analyst of the global financial system, and co-author of the Green New Deal. I predicted an Anglo-American debt-deflationary crisis back in 2003, and am known for my work on sovereign debt and international finance, including Jubilee 2000. Currently a fellow of the
One Response to “Bring back cool reasonable voice of Keynes… in the FT”
I am not an economist. I heard that there was a flaw with Keynes theory: stagflation. I’ve been
reading about Austrian economics (such as “Economics in One Lesson”). It has a lot of appeal and makes much sense to me. I personally like the idea
of a safety net though that isn’t reliant on charity/philanthropy.
A return to a gold standard has some appeal. It would mean that money
was a commodity and could operate like other commodites as you say. Another reasonable alternative is to have a fixed amount of fiat money
(including debt – broad money I think).
I look forward to the talk of reform that this crisis will bring. Let’s hope the depression isn’t
long and deep.
Comment By Steven Shaw on September 30th, 2008 at 11:12 am
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