Forwards – The financial capitalism is broken
Nowadays each one and everybody have been thinking about tomorrow, hoping that something will change for better. It is hard to think that it will happen. The future is the projection of the present that is son of the past past: in the history there have been periods traumatised by calamities: from wars, to epidemics, earthquakes, floods and so on.
The day after any event, people tried to apply the lessons learned, but the intents have not been put into practice because, as it has been said, the road to hell is paved by good intentions.
It should be considered that the health crisis blew up in the middle of an ongoing crisis of the financial capitalism meaning that there are two crises to face at the same time. Currently, with the Ucraina invasion everything should be re-settled.
This could be a good opportunity for digging new fundamentals of economics. Despite any scepticism there isn’t a choice, but to look forward and re-set the development’s paradigm.
It seems that the proposals worked out for Post Coronavirus have assumed the situation before Covid-19 as normal and acceptable, but this isn’t the case. In fact, when we measure the progress achieved in getting the objectives of the 2030 Agenda for SDGs, the related evaluations have shown poor results that have anticipated the non-accomplishment of the goals.
The extent to which this context is shared, when we are going to project the future, we should assume that the financial capitalism is broken.
Before the health crisis, the people have witnessed the crisis of the capitalism, which has been highlighted by the everyday reality by the exploitation of natural and human resources, no longer accepted by both ordinary people and professionals & entrepreneurs involved and engaged in the system.
Not to mention the situations in the developing regions facing massive migrations and an ever-increasing inequality among people.
The Covid-19 along with Ucraina’s war have worsened the people’s living conditions: the poor have become poorer and those already integrated in the system have experienced a reduced income of an already constrained access.
- Under the circumstances, what to do? There isn’t a need to make a revolution or to issue new rules of the game because it is possible to project a possible future, operating in the context in which we live. There is a need to review and revise the approach to market and the environment as well.
- It is up to the Establishment along with the Big Financial Players to change behaviour when it comes to deal with development finance issues.
Everyone can find references in their own sector of work or interest; here we will refer to the financial component of the economy, we have been dealing with since the mid-60s the last century [1].
Over the past decades Finance has continued to dominate the world of the business and this is quite understandable bearing in mind that the financial leverage is important and sometimes essential for the development of whatsoever activity.
But the problem is: which finance? Financialization with unsustainable interventions that instead of creating real wealth produced virtual affluence?
Currently, Finance although having a dominant position, it is not a constant but a variable of the development’s equation and therefore can be re-formed with appropriate revisions to achieve the objectives.
The data emerging from everyday reality has shown that the capitalist algorithm is no longer accepted by both the ordinary people and professionals & entrepreneurs involved and engaged in the system; not to mention the situations in the developing regions facing massive migrations and an ever-increasing inequality among people
Solidarity has been perceived as a response to the accumulation, but the related algorithm has not yet been proposed[2].
Under the circumstances whatsoever proposal should emerge from going through a new financial narrative financial, namely not homologated to the Establishment standards; we did it using a toolbox updated to the changes to measure whether the targeted goals listed in the 2030 UN Agenda have been achieved:
POVERTY – An Alternative Paradigm: MOVING FROM CREDIT-BASED ECONOMY to COMMUNITY BASED ECONOMY https://www.morebooks.de/store/gb/book/poverty-an-alternative-paradigm/isbn/978-613-8-45817-3
[1] https://ascaniograziosi.net/my-journey
[2] https://www.linkedin.com/pulse/why-capitalism-broken-ascanio-graziosi/
Ascanio Graziosi 