[lbo-talk] Paperback version of The Confiscation of American Prosperity

[michael perelman]

I am writing a first draft of my introduction to the paperback edition
of my book.  Any feedback would be very much appreciated.
The Confiscation of American Prosperity: From Right-Wing Extremism and
Economic Ideology to the Next Great Depression first appeared in
October 2007, just as the stock market was peaking.  Judging by the
public pronouncements by economists and the business press, the
economy appeared modestly healthy before the breakdown of the subprime
mortgage market.  In fact, the weakness of subprime mortgage market
was a symptom of deeper problems that had been eating away at the
economic core.
In addition to a diagnosis of these deeper problems, such as growing
inequality and an emphasis on financial activities, rather than more
productive economic endeavors, the book offered a historical analysis
of the willful gutting of the economy that occurred over the last four
decades.  The Confiscation of American Prosperity presents this
history in the form of a crime story, beginning with an accounting of
the economic plunder engineered by a small part of society, with the
complicity of both political actors and many, if not most, economists.
 The second part of the book describes the way that this group was
able to carry out the theft of enormous wealth.  In the tradition of
crime stories, the third part of the book examines the expected
retribution.  The final section addresses the incompetence of the
economists, who should have acted as policeman while the plot was
unfolding.
The recent protests of the Occupy Movements indicate a deeper
understanding of the crime than either the business press or the
economic analysis following the meltdown of the financial system.  The
protesters correctly realize that many of the most serious
perpetrators have escaped from the crisis without retribution.  Their
outrage might contribute to some modest retribution, but the expected
retribution discussed in the book will come from more serious economic
disruptions that are all but certain, without addressing some of the
economic imbalances created by the crime.  Of course, the economy can
begin showing signs of health once again, but sooner or later the
imbalances will take a serious toll on the economy.
Historically, economic crises do tend redress some imbalances, but
political mobilization is also an important element in returning to a
more healthy balance.  One can only hope that such mobilization will
be effective enough to prevent another Great Depression.

-- 
Michael Perelman
Economics Department
California State University
Chico, CA
95929

530 898 5321
fax 530 898 5901
http://michaelperelman.wordpress.com