The Jubilee Principle, Martin Dent and the ongoing global financial crisis

The most striking outcome of the global financial crisis of 2007-9 was the stunned impotence of policy makers – politicians, technocrats and central bankers. They were either unable to fix the global economy or consciously chose not to do so. After the crisis, no structural change was made to the system at the core of the crisis: the international financial architecture. Instead business was made better-than-usual for those that caused the crisis, as most too-big-to-fail financial institutions were backed by government guarantees and central bank largesse in the form of QE and low rates.

Policy-makers imposed two key policies on the flawed globalized model: monetary easing (QE and low rates) and fiscal consolidation (austerity). Incomes across the world fell, while insecure employment and private debt rose to 319% of global GDP (IMF). Borrowing by English higher education institutions has ballooned since 2009, as has student debt. Simultaneously the finance sector (or the 1%) became the main beneficiary of central bank largesse. These policies increased corruption and fraud, intensified inequality, insecurity and led to political insurgencies around the world. Dependent on central bank ‘life support’ the heavily indebted global economy is increasingly prone to volatility and to a range of destabilizing shocks including the breakdown of earth’s life support systems. What lies ahead?

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Ann Pettifor is best known for her prediction of the Great Financial Crisis in The Coming First World Debt Crisis (Palgrave 2006). In 2003 she edited the New Economics Foundation’s Real World Economic Outlook (Palgrave) and in 2008 co-authored The Green New Deal published by NEF. In 2017 Verso published The Production of Money on the nature of money, debt and the finance sector. She is the author of The Case for The Green New Deal (forthcoming, 2019).

In 2018 the Heinrich Boll Foundation awarded Pettifor the Hannah Ahrendt Prize. She is a Council member of the Progressive Economy Forum and director of PRIME economics – a network of Keynesian macroeconomists. In 2015 the Rt.Hon Jeremy Corbyn MP appointed her to the Labour Party’s Economic Advisory Committee. She has an honorary doctorate from the University of Newcastle for her work leading an international movement for the cancellation of $150bn of debt owed by 35 low income countries, Jubilee 2000.

[OregonBacon]

No real concept of finance, so do the public employees take a 50% or 75% cut in their retirement because promises were lies? The truth is Government sucks and over promises and the demands more taxes so the average citizens have nothing to put into their own retirement! My state, Gov't employees are retiring because they get more in retirement than salary.... anyone see the problem?!!!

[GenXautrucity]

If there is a jubilee reset, then the next monetary system needs to be built around people and not corporations. 1k per person starting at 18, 5k per person for retirement starting at 58. reparation to be paid at retirement at 56, instead of 5k per person, it will be 7k per person. Wealth will be passed down from families and the wealth gap will narrow. People who have accumulated wealth, good for you:) but there needs to be a cap so no man can be rich enough to influence countries.

[Largeagegaplove]

Those who are hoping for a "Jubilee" year to erase their profligate spending do not understand the biblical principal of "Jubilee". In those days the people of Israel knew their would be a reset and land returned to the original owners thus pricing was determined in all sales with that principal in mind. In today's world people and countries are running up debts to enjoy the benefits of those debts today and when their debts become crippling they are looking for a way out. Those who abuse the debt principle do not deserve to have others pay for their abuse since they were the benefactors of the wealth they borrowed. This woman is advocating for a non-biblical jubilee. This is leftism wearing a clerical collar.

[susanmatherne]

God pieade let this be a jubilee Year, I pray to God it is cause God will be pleased. I don’t have much debt but I do have friend and I pray for the peeps that do. Jesus love his children that r yellow, black t white. Please pray for that