the economy and the government to continue to live beyond its means.

ZEE BUSINESS BEST B SCHOOL SURVEY

There are three factors behind the unprecedented crisis that confronts American capitalism today – short term, medium term and long term. The meltdown that you see today is a result of all three. The first factor relates to unsustainable and unrealistic home mortgages. The second factor relates to the propensity of the American consumer, the economy and the government to continue to live beyond its means. The third factor relates to triumph of the neo-conservative Chicago (Milton Freidman) school of economics over the more moderate Keynesian school of economics since the 1970s, since when ‘Conservative revolution’ has mesmerised policy-makers in America. This third factor poses the greatest challenge to capitalism in America.


For more articles, Click on IIPM Article.
Source : IIPM Editorial, 2008
An Initiative of IIPM, Malay Chaudhuri and Arindam Chaudhuri (Renowned Management Guru and Economist).


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