Revolution Required - The Ticking Time Bombs of the G7 Model

Abstract

Trust in public policy makers and public institutions is eroding. People sense that something is wrong with the way the political and economic elites in the G7 countries are discharging their responsibilities. This manifesto argues that the finely tuned antenna of people are right: the current trajectory of policies in the G7 countries is leading straight into a systemic crisis. It shows how key policies are irresponsible, whether in the domains of monetary and macro policies, or in the areas of climate change and defence. But these policies are presented as being in the public interest. The mainstream media present news that purport to show that all is well, while independent and critical views receive little coverage. In terms of policy-making, the world has turned up-side down within a few years. Heretical views of five years ago have become mainstream; mainstream analysis of yesterday is seen as not “getting it”. The manifesto makes the case for a revolution in thinking if the march of the doomsday clock towards midnight is to be stopped. It advocates the transition from the reckless G7 model to an “economy for the common good”. A model today seen as utopia - but that might soon become a categorical imperative.

Keywords: monetary policy, political economy, G7, climate change

JEL Classification: F02, E58, D73, G18, G28, H12