Funding the Future Neoliberal economics is a work of fiction
May 6, 2025
Delve into the critique of neoliberalism, where myths and falsehoods shape economic policy for 45 years. Discover the absurdity of stable consumer preferences and how these unrealistic assumptions permeate neoclassical economics. Analyze the flawed belief in human rationality and equilibrium, pushing for a reevaluation of traditional economic principles. The discussion also highlights the dangers of minimal government intervention, illustrating how neoliberal beliefs neglect pressing societal needs and exacerbate global disparities.
AI Snips
Chapters
Transcript
Episode notes
Neoliberal Economics as Fiction
- Neoliberal economics is a fictional construct built on myths and falsehoods according to Richard Murphy. - It emerged as a development of, but flawed more deeply than, neoclassical economics.
Neoclassical Economics' Unrealistic Assumptions
- Neoclassical economics relies on absurd assumptions like rational human behavior and perfect competition. - These assumptions are unrealistic and don't reflect actual human or market behavior.
Market Imperfections Undermine Models
- Key neoclassical assumptions like stable preferences and equilibrium are alien to real human experience. - Markets rarely offer perfect competition or perfect knowledge, undermining economic models.