The Global Economy After the End of Capital Scarcity: A Utopian Proposal

Carl Christian von Weizsäcker () and Hagen Krämer
Additional contact information
Carl Christian von Weizsäcker: Max Planck Institute for Research on Collective Goods

Chapter Chapter 12 in Saving and Investment in the Twenty-First Century, 2021, pp 293-308 from Springer

Abstract: Abstract Extrapolating from List (Das nationale System der politischen Ökonomie. Cotta, Stuttgart, 1841), we explain the paradox of ChinaChina, paradox of: A poor country can experience tumultuous growth precisely by exporting more capital on balance than it imports. More growth can be created in developing countries by their running current account surpluses vis-à-vis the OECD plus ChinaChina region. Public debt in the OECD plus China region would have then to be managed in such a way that full employment is preserved despite the current account deficit. Such a strategy would be beneficial for both groups of countries. For the time being, this is a utopian proposal. Realizing it would mean yet another restructuring, in addition to that associated with digitalizationDigitalization. The opposition of those who could lose their jobs as a result will ensure that this sort of reorientation of global tradeTrade policy will remain politically unfeasible for a long time still.

Date: 2021
References: Add references at CitEc
Citations:

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:spr:sprchp:978-3-030-75031-2_12

Ordering information: This item can be ordered from
http://www.springer.com/9783030750312

DOI: 10.1007/978-3-030-75031-2_12

Access Statistics for this chapter

More chapters in Springer Books from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().