Current Affairs10 Juni 2024

How Everyone Misunderstands Capitalism (w/ Grace Blakeley)

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Grace Blakeley is one of the left's leading economic thinkers. In her new book, Vulture Capitalism, Blakeley explains how capitalism really works and gives a crucial primer on the modern economy. She joins today to explain why conceiving of "free markets" and "government planning" as opposites is highly misleading, because our neoliberal "market-based" economy involves many deep ties between the state and corporations. Instead of thinking of "capitalism" and "socialism" as a spectrum that runs from markets to government, Blakeley says we should focus our analysis on who owns and controls production, and who gets the benefits.

"The choice isn’t “free markets” or “planning.” Planning and markets exist alongside each other in capitalist societies—indeed, in any society. The choice is whether the planning that inevitably does take place in any complex social system is democratic or oligarchic. Do we allow a few institutions to make decisions that affect everyone else, considering only their own interests, or do we move toward a system in which everyone has the power to shape the conditions of their existence? We must stop talking about “free-market capitalism” and instead accept that capitalism is a hybrid system based on a fusion between markets and planning. Rather than seeing the world in which we live as emerging from mystical market forces beyond our control, we must realize that the world in which we live results from the conscious choices of those operating within it. When we are able to view the world in these terms, the space for conscious, democratic design of our world expands." — Grace Blakeley

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