Who will defend The Market?

Speaking of Thomas Piketty’s Capital in the Twenty-First Century, Ryan Cooper points to anxiety on the right about its considerable splash, and its rigorous argument for the tendency of wealth to concentrate over time. He quotes James Pethokoukis of National Review, who worries that a New Marxism is afoot: John Maynard Keynes and Friedrich Hayek famously squared off in the 1930s, Left versus Right. But when Keynes published his revolutionary General Theory in 1936, Hayek went silent. It was a de facto retreat that helped give free rein to anti-market forces — even if that was not… Read More

I review Piketty

Bookforum has unleashed my review of Thomas Piketty’s Capital in the 21st Century. The opening: The core message of this enormous and enormously important book can be delivered in a few lines: Left to its own devices, wealth inevitably tends to concentrate in capitalist economies. There is no “natural” mechanism inherent in the structure of such economies for inhibiting, much less reversing, that tendency. Only crises like war and depression, or political interventions like taxation (which, to the upper classes, would be a crisis), can do the trick. And Thomas Piketty has two centuries… Read More