Market fundamentalism

Market fundamentalism is a political slogan, be designated by the pejorative liberal positions. Similar expressions are market radicalism or market ideology. The slogan expresses that the so called economic policy ideas would trust the problem -solving potential of market mechanisms exaggerated and be conceived as fundamentalist.

Use

The term market fundamentalism was popularized by George Soros, but already used by Jonathan Benthall. According to Soros are market fundamentalists people to importance in the globalized economy, writes Soros "believe that markets tend towards equilibrium and to serve the public interest best if you allow the participants to pursue their own interests. ": "The market fundamentalism is now so powerful that all the political forces that dare to oppose him, are quickly branded as sentimental, illogical or naive. "

The social scientist Margaret Somers and Fred Block define market fundamentalism as " present form of the idea that society should be subordinated as a whole, a system of self-regulating markets. Market fundamentalism is more extreme than that ( and should not be confused with ) stepped opinions of most mainstream economists. He is also very different from the complex mixture of political lines that are followed in currently existing market societies. " Typically, would be represented as self -regulated markets naturally, government intervention, however, as culturally contingent arbitrariness. Somers / block are of the view that the beliefs of the superiority of market principles often based on certainty of a " quasi-religious ". Jürgen Habermas laments the " social Darwinist potential " of " market fundamentalism ".

Friedhelm Hengsbach refers to what it considers to " radical market reference point" the conception of the social market economy, the " ideal-typical construction of the perfect market ".

The former World Bank president Joseph Stiglitz advocated in his Nobel Prize acceptance speech of the opinion that the Washington Consensus is based on " market fundamentalist principles ." The underlying " ideology " is based on the absoluteness of Adam Smith attributed model after market forces would lead the economy by an invisible hand to efficient results. Calculation takes no consideration that the market system would require full competition and perfect information. Fundamentalist are according to Stiglitz ideas that "the markets regulate themselves, allocate resources efficiently, and serve the interests of the public." These views were an interest-based political doctrine, which have no basis in economic theory. Stiglitz described the global financial crisis of 2008 as the end of he saw in market fundamentalism. It applies to Stiglitz to let the shaped by market fundamentalism neoliberalism in favor of a more balanced economic system behind it.

In 1997, Heiner Geissler condemned it considers to be " global market fundamentalism " as the "new idols of the jobbers, shareholders and industry representatives ."

The Federal Association for Economic Development and Foreign Trade describes market fundamentalism as promotion of "free trade and free market economy without effective social, cultural and environmental regulatory framework as a desirable social system ".

Globalization critics such as ATTAC use the term market fundamentalism, as well as neo-liberalism, to refer to the policies of the G8, the IMF or the World Bank.

Criticism

Jagdish Bhagwati laments an anti -market fundamentalism, which grow everywhere now. Unlike, for example, Stiglitz he is able to recognize during the reign of the U.S. President George W. Bush is no market fundamentalism. Instead of deregulation he had seen a lot of failed regulation, which have mostly to do with lobbying.

Bryan Caplan also criticized the use of the phrase. For the economic mainstream of the popular accusation of was " market fundamentalism " simply wrong and foolish. Even Milton Friedman, who was very much market- friendly than the average of economists, rooms open to an identified market and did not have a quasi-religious belief in the infallibility of the free market. The only plausible candidates for " market fundamentalism " are the followers of Ludwig von Mises, in particular his student Murray Rothbard and Ludwig von Mises Institute. These would but usually only discuss with each other because they would be far from the economic mainstream. Caplan thinks that instead of a market fundamentalism, a quasi - religious democracy fundamentalism is widespread.

According to the sociologist Wolfgang Krohn serve " the coinage of the word market fundamentalism of moral discrediting of a neo - liberal attitude ". You use this their opposition to moral fundamentalism to clarify that " the accusations of fundamentalism and hypocrisy are sometimes also returned to the address seemingly entmoralisierter actors when they invoke the relentless inherent logic of functional imperatives of the functional systems to manifest unethical practices to refine. "