Thank you to everyone who came along to our event last week at UCL – to Steve Keen and Ann Pettifor for speaking and to Professor Victoria Chick for making it all possible.
The evening was a great success; Steve Keen began by giving an overview of the new edition of his book ‘Debunking Economics’.
He focussed on the absurd state of neoclassical macroeconomic theory and the reasons that conventional economists were the last people on the planet to realize that a serious economic crisis was about to occur.
Keen strongly advocated the view that Neoclassical theory is ‘neat’, ‘plausible’ and ‘wrong’. He went on to dissect the inherent weaknesses in Neoclassical theory including it’s failure to recognise the importance of credit, debt and social class, it’s tendency to treat complex monetary exchange as barter and it’s use of an empirically falsified “money multiplier” model of money creation (as well as others –see the attached slideshow for more information).
Ann Pettifor gave an outline of the endogenous nature of money creation, and the case for both large scale government spending and a modern debt jubilee to get out of this crisis.