23 Things They Don’t Tell You About Capitalism
June 20, 2013 Leave a comment
Cambridge professor Hu-Joon Chang’s international bestseller is an accessible, balanced, warm and entertaining analysis of the myths of modern capitalism. Many books on the subject of what has gone wrong have been published since the crash of 2008, but “23 Things They Don’t Tell You About Capitalism” goes right to the very heart of the problems in plain language. It shows how the world really works.
Early on, the author makes it clear that this is not an anti-capitalist manifesto. “Being critical of free-market ideology is not the same thing as being against capitalism.” With countless examples from people’s everyday lives, aswell as the world of business and politics, different forms of capitalism are explored. Particular issues with the USA and UK model from the last thirty years feature prominently. To a certain extent, the chapter headings speak for themselves. “Thing 1 – There is no such thing as a free market” (government is always involved in setting rules and regulations to some degree), “Thing 2 – Companies should not be run in the interests of their owners” (running companies for the often short-term interests of shareholders risks destroying the entire system in the long-term), and so on.
For many, some of the observations in “23 Things…” may seem like common sense, but Chang can still be quite shocking as he slices right through widely accepted political and economic orthodoxies. In the conclusion he suggests ways to rebuild the world economy – build systems that acknowledge the limits of human rationality, ban complex financial products that don’t benefit society in the long run, build a system that brings out the best in people, take “making things” more seriously, “unfairly” favour developing countries – who have suffered badly as a result of free-market policies.
This is a great book that cuts through a lot of economic and political waffle like a knife.