Readers might think I have an issue with the world of finance. Not at all: finance is fundamental in the lives of people, companies and nations. Readers might stop to consider what would happen if there were no banks, money, credit, investments, wealth management… Well, we already knew how that was a few millennia ago, […]
Capitalism on Trial
Over 200 years have passed since the emergence of traditional liberalism, led by Adam Smith. In the modern era, capitalism has evolved into a different system. One that is overly individualistic and promotes inequality. One that favors finance over the real economy and yields recurrent crises. And adamantly seeks to maximize not profitability, but rents, […]
Families: The key to addressing social and economic inequality
Francis Fukuyama delivers an engaging critique of Robert Putnam’s latest book, Our Kids: The American Dream in Crisis (Financial Times, March 2015). Putnam alerts us to the real reason behind America’s inequality, which is missing in current debates on the subject. His belief is that the gradual decline of the stable, two-parent, mother and father […]
Redistribution is not Enough
Ricardo Hausmann recently wrote a piece titled “Redistribution or inclusion?” for Project Syndicate. It provides a different view of the causes of inequality of income, looking particularly at developing countries. It points out that modern production requires many complementary inputs, many of which are present in advanced economies, but lacking in emerging economies. Some years ago a friend told […]
We don’t understand the Greeks
Everyone is uneasy about the electoral victory of Syriza in Greece and the threat of populism in Europe. The media has been buzzing for days now with comments and analysis, largely talking about what Syriza should do, what should be done by the European Union, Germany, the International Monetary Fund… the consequences of the policies […]
