In looking at the forces that brought our current administration to power one thing is clear: much of the population believes that our economic system is rigged to enrich the privileged elites at the expense of hard-working Americans. This is a belief held equally on both sides of political spectrum, & it seems only to be gaining momentum. A key reason, says Financial Times columnist Rana Foroohar, is the fact that Wall Street is no longer supporting Main Street businesses that create the jobs for the middle and working class.

She draws on in-depth reporting and interviews at the highest rungs of business and government to show how the “financialization … More

Our next Book Club read is Nicholas Shaxson’s, ‘Treasure Islands’, on Monday 11th March. In this book, Shaxson investigates the three main components of the offshore system, which may surprise you. While the small island states are integral fortifications of the offshore system, the main poles are actually the United States, London, and a grouping of states in continental Europe (mainly Luxembourg, Switzerland, Lichtenstein, and the Netherlands). Considering that about one half of world trade passes through tax havens, they are integral to the current global system.

Also, while terrorists and crime lords are significant users of the offshore system, the primary beneficiary and architect is the … More

Governments today in both Europe & the United States have succeeded in casting government spending as reckless wastefulness that has made the economy worse. In contrast, they have advanced a policy of draconian budget cuts―austerity―to solve the financial crisis. We are told that we have all lived beyond our means & now need to tighten our belts. This view conveniently forgets where all that debt came from. Not from an orgy of government spending, but as the direct result of bailing out, recapitalizing, & adding liquidity to the broken banking system. Through these actions private debt was rechristened as government debt while those responsible for generating it walked away scot free, placing the blame on the state, and the burden on the taxpayer.

That burden now takes the form of a global turn to austerity, the policy of reducing domestic wages and prices … More

Costas Lapavitsas contends that the EU’s response to the Eurozone crisis represents the ultimate transformation of the union into a neoliberal citadel, which institutionally embeds austerity, privatisation and wage cuts. Concurrently, the rise of German hegemony has divided the EU into an unstable mixture of wealthy core and dependent peripheries.

These related developments make the EU impervious to meaningful reform, particularly as its institutions are fundamentally designed to uphold the … More