Freedomain Radio

hey guys, just read this article that was sent by a friend and i thought id post it for discussion...

http://www.alternet.org/workplace/94548/why_you_want_a_progressive_to_be_running_the_economy/

Why?  The guy tries to talk about his intimate knowledge of economics when it's pretty clear he knows very little about them.  Bringing up the Great Depression and the recent bank collapses as "market failures."  How easy for the so-called "progressives" to ignore the giant fucking gun in the room concerning those two issues.

What was your friend doing sending you that article?

Well the reason i posted it was because its written by joseph stiglitz. Considering he was chief economist for the world bank it seem he does have intimate knowledge of economics.

I dont agree with what he has said though, especially the part about trickle down economics. Nevermind why my friend sent the article. He doesnt agree with it either.

Also, that keynes quote "in the long run we are all dead" seems to always be used as an excuse for government meddling.

So i was hoping you guys, who are more knowledgable than myself, would tear what stiglitz said to shreds piece by piece so that i can hopefully learn something more and use it as ammunition whenever someone who claims to be a 'progressive' spouts these viewpoints in a conversation.

thanks

sven:

So i was hoping you guys, who are more knowledgable than myself, would tear what stiglitz said to shreds piece by piece so that i can hopefully learn something more and use it as ammunition whenever someone who claims to be a 'progressive' spouts these viewpoints in a conversation.

I can't believe Stiglitz wrote this piece of crap. I mean, I already knew of his views but I didn't think he'd put forth such ridiculous arguments that seem to read like a DailyKos post by an unknown user with keywords like "unfettered markets" and a completely irrelevant quote from Keynes.

Stiglitz is one of the most renowned and respected economists in the present. I have been given more of his work to look at than any other economists', and what he argues is usually considered "the last word" on a given topic.

In other words, the collapse is inevitable, so long as we have economists treating unregulated submarkets put in the context of a 1/3 GDP sized state and city lawbooks bigger than the bible, as "the free market," and getting the last word on it.

Are you planning to convert Stiglitz?

Stiglitz:

A modern economy also requires risk-taking. Individuals are more willing to take risks if there is a good safety net. If not, citizens may demand protection from foreign competition. Social protection is more efficient than protectionism.

I haven't read the whole thing, I suspect it's the same stuff as usual. Just picked a random sentence

So economy in the past did not require risk-taking?

Individuals are indeed more willing to take risks, if someone is forced to hold their safety nets, we have seen excellent examples of risk-taking with safety nets in the American banking system lately.

Tax cows ask for protection from foreign competition? Are they afraid that their consumer goods might drop in price to much?I thought it was usually the farmers who asked for the protection not the tax cows.
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Haha!  THAT guy is the chief economist for the world bank?!  no wonder it sucks so much.... oh man, I can't believe that guy is considered an authority.... although it's clear why so many people who have little economic knowledge think the Great Depression and the recent bank collapses are a result of the free market.  Assholes like this talk about it and get the title, AUTHORITY!  LOL!

Chewgarus is right, the collapse is ineviteble if this is their best economist.