Public Knowledge and Financial Regulation: Two Post Crisis Periods

Abstract:

Since at least the days of Adam Smith there has been the recognition of essentially two forms of capitalism: in their theoretical extremes, one in which private companies determine the conditions of the social provisioning of credit and money, and one in which the State representing the general interest does. As we argue, the zeitgeist of the 1930s was a high water mark in the popular understanding of money and banking and its relationship with society. In contrast, today the general population is woefully ignorant on these points. As we argue, the relationship between financial governance and those governed hinges on the knowledge of the latter. Today’s public discourse reveals a widespread ignorance over financial matters that must accompany a likewise extreme moment of private control over nations’ money and credit. As we argue, the first steps towards a capitalism at the service of humanity and under public control, the first priority is publicly diffused knowledge.

Keywords:

• money
• financial systems
• social ontology

JEL Classification Codes::

• I38
• B55
• B52

Additional information

Notes on contributors

Gregorio Vidal

Gregorio Vidal and Wesley C. Marshall are both professor-researchers at the Universidad Autónoma Metropolitana-Iztapalapa.

Wesley C. Marshall

Gregorio Vidal and Wesley C. Marshall are both professor-researchers at the Universidad Autónoma Metropolitana-Iztapalapa.