2 - Neoliberalism Flashcards
What is Harvey’s definition of neoliberalism?
‘a theory of political economic practices that proposes that human well-being can best be advanced by liberating individual entrepreneurial freedoms and skills within an institutional framework characterised by strong private property rights, free markets and free trade’ - (Harvey, 2005)
Who is the father of liberalism and what did he believe in?
Adam Smith is considered the father of liberalism – he believed in the invisible hand of the market(free market)
How did the founding of the Mont Pelerin Society in 1947 advance the progession of the neoliberal movement?
It was Anti-Marxist & Anti-Keynesian as well as being led by Frederik Hayek as well as Milton Friedman as a key member.
What event is defined as the beginning of Neoliberalism?
On the 11th of September 1973, Salvador Allende – the democratically elected president of Chile – was killed during a coup lead by General Pinochet and backed by the CIA, leading to the establishment of Pinochet’s dictatorship.
How did Pinochet’s dictatorship aid the US & neoliberalism itself?
The US wished to have access to Chile’s resources(Allende’s government were socialist and looked to nationalise the resources of the country) & therefore, they established a neoliberal agenda in Chile with privatisation, deregulation as well as opening up of the market to foreign competitors occurring.
What are some key neoliberal governments?
Thatcher’s Conservative government(1979 - 1990) & Reagan’s Republican government(1980-1987)
What were some policies of Thatcher’s government?
Her Mandate to curb trade union power & end inflationary stagnation, Housing Act of 1980 - allowed council house tenants to buy their own homes
What was a key policy of Reagan’s Republican government?
Federal Reserve raised interest rates to curb inflation, revitalise its economy and curb the power of labour
How does neoliberalism relate to globalisation?
Neoliberalism was a global project from its outset as it led to structural adjustment programs - the WB/IMF imposed reforms as conditions for issuing loans that with policies that were inherently neoliberal(Trade liberalisation, privatisation, reduced barriers to FDI etc.)
