It has been hard slogging over the last two weeks of what we hope has been balanced discussions about the economic and political crisis that is currently racking Greece, Europe and in fact the world, so before we move into our final stage of closing comment with the urns now open but before the votes are counted in Greece, what about taking a step back and seeing what would happen if we take this conflict to another, higher level? Check it out here:
This video was drawn to our attention in an article by Max Ehrenfreund that appeared in The Washington Post yesterday — HERE — and which merits reading on its own as the writer ponders
Many top English-speaking economists are either alarmed or aghast over Europe’s handling of the crisis in Greece. Several Nobel Prize winners say it has been exacerbated, time and again, by an unnecessarily rigid approach by Germany, Europe’s economic powerhouse and decision-maker.
Greece simply cannot repay its debts, economists argue, no matter how much the country slashes public services or raises taxes. So by insisting it keep on trying, the thinking goes, Germany seems to be intent on punishing Greece.
The Germans see it differently, saying what they are doing may be painful, but necessary, to get the country on a sustainable footing for the long term.
. . .
The basic question for all these thinkers is whether the patterns we see in the world around us really reflect patterns that exist in nature or are simply attempts by our minds to structure what we see. For many German philosophers, a key effort was to understand the principles governing societies.
This is a particular issue for economists, who seek patterns in the mass of statistics coming out of stock markets and labor surveys. It’s not always enough, though, to look at how markets and prices behave and describe the mathematical patterns they seem to follow. In practice, there always seem to be exceptions to the rules, sometimes catastrophic ones, which suggest that those maybe patterns have more to do with our minds than the natural world itself.
“Anglo-Saxon economists are guided by the utilitarian philosophy of John Stuart Mill or Jeremy Bentham, asking merely if a policy works,” The Economist recently wrote. “Germans side with Immanuel Kant, believing that nothing works except through law, and are horrified when the [European Central Bank] strays from its narrow mandate.”
# # #
For more from us on the Greek Crisis:
* From: Thinking about Economy and Democracy – here.
* From: World Streets on the Greek Crisis – here.
# # #
About the editor:
9, rue Gabillot, 69003 Lyon France
Bio: Educated as a development economist, Eric Britton is an American political scientist and international sustainability activist who has lived and worked in Paris since 1969. Professor of Sustainable Development, Economy and Democracy at the Institut Supérieur de Gestion (Paris), he is also MD of EcoPlan Association, an independent advisory network providing strategic counsel for government and business on policy and decision issues involving complex systems, social-technical change and sustainable development. Founding editor of World Streets: The Politics of Transport - https://worldstreets.wordpress.com . | Britton online: https://goo.gl/9CJXTh