Thomas Piketty Undermines the Hallowed Tenets of the Capitalist Catechism

See on Scoop.itDidYouCheckFirst

Greg Russak‘s insight:

I’m not an economist, and I’m not an expert, but even as a casual observer and part-time student of economics, business, politics, and society, none of this comes as shocking or a complete surprise.

 

The excerpt below is telling, but the entire article is very much worth reading.

 

Then come back and invest the 16:35 in this video:

Paul Piff: Does money make you mean?

http://www.ted.com/talks/paul_piff_does_money_make_you_mean

 

 

 

Piketty is certainly not the first economist to criticize inherited wealth. And the idea that capitalism is unfair will not shock most people who work for a living. But Piketty’s credentials and exhaustive attention to statistical detail make him harder for the pundits and policy elites that protect the plutocracy to dismiss.

 

In addition to exposing the weakness in a core principle of the economist canon, Piketty’s data-driven methodology skewers the class bias masquerading as science that pervades the study of economics and the formulation of economic policy.

 

Economics claims superiority over other social sciences on the basis of its greater capacity to quantify reality, i.e., crunch numbers. Yet for decades now the numbers have been in conflict with hallowed tenets of the capitalist catechism. For example, the forty-year gap between wages and productivity refutes the theory that workers get paid according to their efficiency. Twenty-five years of relentless job losses and wage decline because of globalization mocks the rigid faith in free trade. We haven’t had a peacetime price spiral driven by US government deficits in modern times, yet the conventional wisdom has us cutting food stamps to placate inflation paranoia.

See on www.commondreams.org

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