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The Renegade Economist in conversation with Prof. Steve Keen
Steve Keen is Associate Professor of Economics & Finance at the University of Western Sydney. Link to his blog here. Steve predicted the financial crisis as long ago as December 2005, and warned that back in 1995 that a period of apparent stability could merely be “the calm before the storm”.
His leading role as one of the tiny minority of economists to both foresee the crisis and warn of it was recognised by his peers when he received the Revere Award from the Real World Economics Review for being the economist who most cogently warned of the crisis, and whose work is most likely to prevent future crises.
He has over 50 academic publications on topics as diverse as financial instability, the money creation process, mathematical flaws in the conventional model of supply and demand, flaws in Marxian economics, the application of physics to economics, Islamic finance, and the role of chaos and complexity theory in economics. His work has been translated into Chinese, German and Russian.
He is author of the popular book Debunking Economics[pdf], in which Steve let the general public in on a little-known secret: that many widely believed economic models have been shown by economists to be wrong.
He has just released his new book Debunking Economics – Revised and Expanded Edition: The Naked Emperor Dethroned?
Watch the interview with him in the film below. The first 5 min. are a bit theoretical but it evolves quickly into a discussion layman can understand. Also predicts the revolts by youths in the Arab world, occupy movements and danger of demagoge leaders who put blame on the working class.
Prof. Steve Keen has a harsh judgement of the neo-classical school of economists surrounding President Obama. Obama will not bring the change he promised. Obama will go down in history as the Hoover who didn’t realize what was happening in the financial system. Barack Obama is NOT Franklin Delano Roosevelt. Sorry guys!
Australia has just levied a 30% mining tax on the large corporations.
A systemetic failure in the Keynes theory on the economy must lead to a drastic solution to alleviate the mortgage debt on homes. The housing bubble caused much of the financial crisis and the institutions failed in lending much more debt consumers could carry. The Bush and Obama administration failed by offering subsidy to creditors who were the origin of the crisis instead of providing funds to debtors who needed to be bailed out. Once again, IMHO a lot more common sense even I can believe in. Also expalins the fundamental flaws why no jobs recovery is seen. He warns of the danger a wrong political choice will be made by voters and large corporate monopolies, who have corrumpted the political system, will profit.
"But I will not let myself be reduced to silence."
