(Figures from www.inequality.org, citing U.S. Census Bureau, EPI, and scholarly studies)
A Brief History of a Global “Paradox”
• Bretton Woods (1944): UN Monetary and Financial Conference to rebuild
post-war global economy
• Three institutions established: World Bank, IMF, and GATT (the last
was replaced by WTO in 1995)
• 1948-1971: Period of unprecedented global economic growth which,
despite unequal distribution, greatly benefited the developing world
(coincides with period of global decolonization: reassertion of national
sovereignty)
• 1973-1974: At summit of non-aligned countries and in UN General
Assembly, Group of 77 (organization of less-developed countries)
campaigns for a new international economic order designed to achieve
a fairer redistribution of wealth, income, and technology
• 1970s-1980s: Heritage Foundation opposes Group of 77 with call for
new economic order based on ascendant neoliberal ideology. Its views
are adopted by US Treasury and IMF and packaged into Structural
Adjustment Programs for developing economies, with emphasis on
export-led growth as condition for IMF and World Bank loans (comes to
be known as “Washington Consensus”)
Neoliberalism in a Nutshell
(aka “The Washington Consensus” or
“Free Market Fundamentalism”)
Principal Features
“When the gap between ideal and real becomes too wide, the
system breaks down.” (Barbara Tuchman)