Nèdeem Elmahjoub's blog

There is a focus on capitalism in the UK .  I don’t understand what Michael Roberts means by three socio-economic systems. Is it not capitalism the socio-economic system of our era?

According to a leading liberal, new Keynesian economist, “The next crisis will not be like its predecessors. In the 1970s, we had stagflation but no massive debt crises, because debt levels were low. After 2008, we had a debt crisis followed by low inflation or deflation, because the credit crunch had generated a negative demand shock. Today, we face supply shocks in a context of much higher debt levels, implying that we are heading for a combination of 1970s-style stagflation and 2008-style debt crises – that is, a stagflationary debt crisis.”

“The truth of the matter is, it’s all within our wheelhouse and nobody has to be punished. No one’s standard of living would change. Nothing would fundamentally change.” –Joe Biden The failure of neoliberalism has undercut U.S. capitalism’s ability to compete within—and by extension dominate—the world system. That is why there is broad support among business elites and the political establishment for Biden’s turn and why it is a dangerous illusion to present it as a concession to the Left. His imperialist Keynesianism is designed to re-cohere a deeply divided nation, rehabilitate the foundations of U.S. capitalism, and reassert U.S. hegemony over the world state system—especially against China, its rising imperial rival. Biden’s proposed expansion of welfare state spending will do little to mitigate the profound social inequalities of the U.S. As Susan Watkins argues, if enacted the plans will not even bring the U.S. welfare state up to the current level of those in Europe, which thems...