Doesn't this speech have the merit of seeing the world's financial system as 
a global system?

In the 60's and 70's Keynesian policies were applied to the individual 
economies of advanced capitalist countries, until that left them too 
vulnerable to competition from Japan and the little tigers.



So to apply them potentially  on a world scale is more than just another 
flavour, I would suggest, Jim.

While a slaughter of fictitious capital is going on, the fact that the world 
is a real global economic system is shown in the ominous rise in prices of 
wheat, rice, and oil.

Presumably, as with the environment, Strauss-Kahn is preparing the debate 
for the reality that there will be no solution that is not acceptable to 
China and India. Sounds good to me.

Chris Burford

(I may have missed out on previous discussions of fictitious capital, but 
presumably that is what these ingenious credit-expanding devices were. Only 
to vanish like the dew in the hot sun of a capitalist crisis.)


----- Original Message ----- 
From: "Jim Devine" <[EMAIL PROTECTED]>
To: "Progressive Economics" <[email protected]>
Sent: Saturday, March 01, 2008 4:14 PM
Subject: Re: [Pen-l] IMF changes direction


| Gernot Koehler wrote:
| > The new chief of the IMF, former French finance minister Strauss-Kahn,
| > advocates more active fiscal policies. (IMF neoliberalism out, IMF
| > Keynesianism back in.) See, his recent speech:
|
| I like the phrase "IMF Keynesianism." It differs from other flavors of
| Keynesianism. 

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