Reading Response 2 / Margot Harknett

To be very honest this subject is out of my element and the article, at times, had me lost on the point it was trying to make. With that being said Streeck talks about the different ways capitalism might end pointing out it’s symptoms of decreasing growth rates, increasing public and private debt, and increases in inequality. Because of these things capitalism is not able to keep it’s promise of progress for the community. He also mentions though that capitalism was brought about because of the successful Cold War and neo-liberal political forces. With the economic collapse in 2008 though Streeck believes that policies put in place then were just a stopgap and we need to figure out ways to stabilize markets other than sitting on fiat money. When the capital’s money intake slows it causes problems with the working population. This leads to exploitation and democracy handing over power to independent agencies and individuals. As long as corporate profits remain high then we get shared prosperity for higher productivity.

From that Streeck gets into what he calls the five disorders of the capitalist system. Those are stagnation, oligarchic redistribution, plundering of the public domain, corruption, and global anarchy. With stagnation he talks about slow long-term growth rates and how things are exploited to keep profits up. Oligarchic redistribution some capitalists are moving away from the people and looking overseas. Plunder of the public though underfunding and capital gain depends on public goods. Corruption is rising when boundaries between legal and illegal, corporate and political are blurred. Finally global anarchy is being threatened in the US with our military being over stretched and our dollar value dropping. Essentially what Streeck is saying is that capitalism is being hit from all sides and the economy is holding on through a life-support of unlimited assets. Instead of history repeating itself and capitalism being overthrown by other views Streeck suggests it will end through suicide.