Moving Beyond Market Moving Beyond Market Fundamentalism to a - - PowerPoint PPT Presentation

moving beyond market moving beyond market fundamentalism
SMART_READER_LITE
LIVE PREVIEW

Moving Beyond Market Moving Beyond Market Fundamentalism to a - - PowerPoint PPT Presentation

Moving Beyond Market Moving Beyond Market Fundamentalism to a Fundamentalism to a More Balanced Economy More Balanced Economy By By Joseph E. Stiglitz Joseph E. Stiglitz Moving Beyond Market Moving Beyond Market Fundamentalism to a More


slide-1
SLIDE 1

Moving Beyond Market Moving Beyond Market Fundamentalism to a Fundamentalism to a More Balanced Economy More Balanced Economy

By By Joseph E. Stiglitz Joseph E. Stiglitz

slide-2
SLIDE 2

Moving Beyond Market Moving Beyond Market Fundamentalism to a More Fundamentalism to a More Balanced Economy Balanced Economy

slide-3
SLIDE 3

Market Fundamentalism Market Fundamentalism

  • !

! "#$ "#$

% % &$'$ &$'$( (# # $ $ % % '$## '$##

  • )

)# # *#+ *#+

slide-4
SLIDE 4

Rebirth after Great Depression Rebirth after Great Depression

  • ,-+$

,-+$ "$+"+ "$+"+

% % '$$ '$$ # #. .

  • %

% '# '#

  • &/$

&/$ " "

  • ,

,

  • $

$

slide-5
SLIDE 5

Neo Neo-

  • classical synthesis

classical synthesis

  • $#"

$#" #$$ #$$

  • 0$

0$

  • 1

1 ## ##

slide-6
SLIDE 6

Information Economics Information Economics

  • 2$

2$ ##"3# ##"3# #3# #3#

  • 4++$++

4++$++ #+$" #+$" *"#+$ *"#+$

  • 0+#+$

0+#+$ ++ ++

  • +$+#+

+$+#+ # #) )+ +) )

  • $$

$$ ++ ++

slide-7
SLIDE 7

Implication Implication

  • 5++

5++ $" $"

  • ##

##

  • 6$$#$+

6$$#$+ "$ "$

  • )

)$ $. .# #. .# #

  • #+

#+ #$ #$

  • 1"#$

1"#$. .

  • ++

++

slide-8
SLIDE 8

Historical experiences confirmed Historical experiences confirmed this perspective this perspective

  • !2

!2 $"#$ $"#$ #$ #$

  • '+$

'+$ # #

  • %

% 2$25+ 2$25+ $7 $7 % % 2$ 2$

slide-9
SLIDE 9
  • &+8$

&+8$

  • 9#

9#

% % :$ :$ % % :# :#

  • ;#$<=

;#$<=

  • '$$#

'$$#

% % :$ :$

  • :

:

  • 1$$

1$$. .

  • %

% :# :#

  • 5#

5#

% % :#3 :#3 % % : : % % : :

slide-10
SLIDE 10

New perspectives on growth New perspectives on growth

  • '#;$#

'#;$# = = + +

% % > >( (

  • :"#

:"#

  • %

% * *. .

  • :#

:# $ $) ) $# $#

  • :#"

:#" "+" "+"

% % &" &"

slide-11
SLIDE 11

America is now facing massive America is now facing massive micro micro-

  • economic failure

economic failure

  • 6+

6+. .## ## ,- ,-

  • >+$

>+$) )$$$ $$$

  • 9#"#$

9#"#$) )# # "#$$$& "#$$$& '$ '$

  • +*#

+*#) )

  • 626

626( ($ $ +*$ +*$

slide-12
SLIDE 12

Central Point Central Point

  • 6+$#

6+$# ## ##( ($ $

  • 5##

5##. .#;$ #;$. .#$ #$ $=$$$+ $=$$$+. .

  • ?"##+$$

?"##+$$

  • %

% >$ >$ % % &$" &$") )$$# $$# % % $"" $"") )$$ $$ #;"$ #;"$ #+$$= #+$$= % % !$#"+"+ !$#"+"+ % % :$$ :$$ "" ""

  • &$

&$) )$ $ #$ #$

slide-13
SLIDE 13

Gap between Private Rewards and Gap between Private Rewards and Social Returns Social Returns

  • !+$+$$

!+$+$$ #"$ #"$ $"$$ $"$$

% % $"# $"#

  • .

.$$ $$ % % 9$ 9$( (

  • ##$

##$

  • '$#$"$

'$#$"$ $$ $$) )+$ +$ +$" +$" # #

slide-14
SLIDE 14

Disastrous consequences Disastrous consequences

  • @'$

@'$ * *

  • %

% 1+# 1+# % % '$+ '$+ $ $

  • 5

5 $+ $+

% % ?8+*$ ?8+*$ ABC ABC

slide-15
SLIDE 15

Others are bearing the cost Others are bearing the cost

  • 0D++

0D++

  • 0D+"+D

0D+"+D

  • 5*"$

5*"$. .

  • 1$$1&

1$$1&

% % !$ !$( ("+++ "+++

  • .

. . .

  • %

% : :E E

  • %

% 0$+$#ACF+ 0$+$#ACF+ &+##ABC5 &+##ABC5

  • !*+"++

!*+"++ "$$$ "$$$ +$# +$# $ $

  • 2++$'

2++$' $$ $$

slide-16
SLIDE 16

Beyond these standard notions Beyond these standard notions

  • f efficiency
  • f efficiency
  • 1"#$

1"#$ $$ $$

% % G#+" G#+" % % , ,

slide-17
SLIDE 17

Success requires a more Success requires a more balanced economy balanced economy

'+ '+

B B

5$ 5$

  • >

>

@ @

3 3 ;$ ;$. .# #. . #= #=

slide-18
SLIDE 18

Not Not-

  • for

for-

  • profits/cooperatives/mutual

profits/cooperatives/mutual societies societies

  • '#

'# #' #'

% % 8 8 % % #$ #$ ## ## % % :$" :$" $$ $$ ##0+H" ##0+H"

slide-19
SLIDE 19

Reasons for success Reasons for success

  • #
  • #
  • ?$*+

?$*+ + +

% % + + $ $ % % 6+# 6+#

  • %

% 6+ 6+

slide-20
SLIDE 20
  • ,$#

,$# +" +" +" +") )$ $

  • %

% 133 133

  • %

% $ $ % % ### ### # # % % 4#+"$D 4#+"$D ##++D ##++D % % 4+" 4+" ##$ ##$

  • >$#+##

>$#+##

  • &#$$

&#$$

  • ,##+$3#

,##+$3# #*+$ #*+$

% % #** #** +$ +$

  • 7

7

slide-21
SLIDE 21

Principles are playing out in Principles are playing out in New Economy New Economy

  • ##+

##+

  • $#

$#

  • ,3

,3

slide-22
SLIDE 22

Implication Implication

  • !$

!$ ## ##

  • '$+$$$#

'$+$$$# " "

  • %

% 1#,->3# 1#,->3# $#$# $#$# 3 3

  • :$D#$#+

:$D#$#+. .

  • $"D
  • $"D

#21# #21# >#$> >#$>

slide-23
SLIDE 23

Joseph E. Stiglitz Joseph E. Stiglitz