In his book, “Debt: The First 5000 Years”, David Graeber levels the accusation against the Left, that it lacks imagination to see beyond present society. I think Graeber’s accusation is accurate and can be seen in his own antistatist (i.e., anti-political and anti-economic) argument. Contrary to Graeber’s argument that money has no essence, it is precisely because money has an essence that fascist state issued debt monies (treasuries) represent a world historical money-form: this debt-money implies money itself has become obsolete.
Based on what I have described of Bernanke’s policy failure so far, is it possible to predict anything about the future results of an open ended purchase of financial assets under QE3? I think so, and I share why in this last part of this series.
I stopped my examination of Bernanke’s approach to this crisis and the problem of deflation after looking at his 1991 paper and his speech in 2002. I now want to return to that series, examining two of his speeches this to discuss the problems confronting bourgeois monetary policy in the crisis that began in 2007-8.
Ross Wolfe has posed four questions on his blog on the nature of economic crisis that I found very interesting. I want to offer my thought on them. Today I will address the first two questions.
1. Do we live in a crisis today? If so, what sort of crisis — political? economic? social?
If several simultaneously, how do these crises interrelate?
In other words, what effect does the present global economic downturn have on prospects for politicization? If it results in political radicalization, does it tend toward the Right or toward the Left?
Oppositely, does the absence of a viable leftist alternative today change the character of the social or economic crisis?
What sort of social consequences has the economic crisis generated, in terms of classes? Why the discourse (ideology) of “the disappearing middle class”? At a political level, has this social upheaval led to anything in the way of a renewed “class consciousness”? Is class still even important?