Economics vs. harmonious civilization

Abstract

Economics presents capitalism as a harmonious society made coherent by a network of mutually advantageous transactions. This article challenges that view, showing how economists structured their abstract theory in terms of transactions in order to eliminate any consideration of the conflicts and contradictions within capitalism. To make this point, the article includes examples, such as the United States Federal Reserve's efforts to strangle economic growth to keep wages in check, the performance of development states, and the repeated bankruptcies of US railroads during the nineteenth century.

Keywords:

• political economy
• development
• environment
• economic theory