Why have free marketeers joined greens and ‘anti-capitalists’ in arguing that economic growth is a bad thing?
Free-market economists are generally seen as the most hardcore cheerleaders for capitalism. Others may equivocate or criticise, but economists are typically viewed as the high priests of market values. They are the ones who are portrayed as spreading the gospel of the benefits of economic growth and the untrammelled free market. One year on from the onset of the credit crunch, it should be clear that this reputation is undeserved. Anyone who bothers to read what free market economists actually say – as opposed to assuming they know what is being argued – should notice a deep sense of doubt. The self-healing powers of the market are being called into question even by the staunchest free marketeers. Every day seems to bring proposals for new forms of regulation of the economy and finance. Indeed, their views often sound more like those of anti-globalisation activists than those conventionally associated with free marketeers. Perhaps the most striking example is that of Martin Wolf, the c
