Neo-Liberalism

3 Pages
83 Views
Unlock Document

Department
Politics and Public Administration
Course
POL 208
Professor
Abbas Gnamo
Semester
Winter

Description
Neo-liberalism and SAPs • Neo- liberalism draws on the neo- classical economics of Adam smith and modernization theory of 1950s • It is anti Keynes and "development economics" • Overriding importance of free market and free trade • Failure of development due to state intervention • Strongly pro-capitalist ( foreign investment encouraged) • Encompassed in structural adjustment programs Neo-liberalism Classical liberalism "laissez faire capitalism" Adam smith Herbert spencer Late 18-19th century Basic tenets of neoliberalism • Deep faith in markets as the best allocators of resources in a society • Belief that government intervention in markets is almost always bad; markets work best when left to themselves. Non moarket considerations ( eg. Inequality, poverty, etc) should not intrude • Belief that in the long term, reliance on market forces will bring prosperity, liberty, democracy, and peace to whole of human kind • Globalism links these ideas to globalization Neo-liberalism • Adam smith • Modernization theory (1950s) --> opposed to development economics --> Keynesians economics --> same as welfare state --> 1947-1973 = golden age of capitalism --> 1973-1979 = oil crisis ( Yom Kippur --> 1979-1980 = Iran-Iraq war --> global economic crisis. ----> born in Chicago school of economics: neo liberalism • Thatcher (1979-1990) • Regan (1980-1988) • Joe Clark • Helmut kohl : chancellor of Germany. • Neo- liberal solutions for the global dead crisis. Happened first time in Mexico in 1981 **SAPS structure of adjustment program **SALS: structure of Policy prescriptions of the neo-liberal globalization project • Liberalization ( free markets) • Deregulation of markets and business • Removal of government controls on wages, prices etc. • Privatization of state enterprises and functions • A business- friendly investment climate • Elimination of tariff and other barriers to free trade. • "Individual responsibility" rather than provision of services by the state Neo-liberalism and SAPs • Neo-liberalism draws on the neo-classical economics of Adam Smith and modernization theory. Neo liberalism and the south •
More Less

Related notes for POL 208

Log In


OR

Join OneClass

Access over 10 million pages of study
documents for 1.3 million courses.

Sign up

Join to view


OR

By registering, I agree to the Terms and Privacy Policies
Already have an account?
Just a few more details

So we can recommend you notes for your school.

Reset Password

Please enter below the email address you registered with and we will send you a link to reset your password.

Add your courses

Get notes from the top students in your class.


Submit