On the ‘Keynesian Neoliberalism’ of the New York Times

by Costas Panayotakis

This article first appeared at the NYTimes eXaminer.

One of the regions of the world most severely hit by the current global capitalist crisis is Europe.  The European crisis has been rendered even more severe by a regression to a pre-Keynesian outlook that, as Paul Krugman has pointed out in his New York Times columns, is reminiscent of the outlook of Herbert Hoover and other political leaders in the early stages of the Great Depression. In today’s Europe this regression takes the form of brutal austerity measures that drastically cut government expenditures and attack ordinary workers’ and citizens’ salaries and pensions.  The ostensible purpose of these measures is to reduce government deficit and debt and to alleviate the sovereign debt crisis that is posing a threat to the future of the eurozone and the European project alike.  In fact, however, these measures are proving counterproductive, thus leading to some debate even within the still dominant neoliberal camp.  Against the ‘budget slashing’ neoliberalism favored by Angela Merkel and the European economic and political elites a more subtle ‘Keynesian neo-liberalism’ is making its appearance.

A recent New York Times editorial on the European austerity programs illustrates this alternative approach. The editorial begins by pointing out that two years “of unrelenting fiscal austerity … have brought [Europe] nothing but recession and deepening indebtedness.”  As the editorial explains, this is due to the ‘growth-killing’ effect of ‘spending cuts and tax increases’ at a time of economic crisis.  As the economy shrinks and unemployment soars, the editorial suggests, government tax revenues suffer, making the austerity programs counterproductive even from a narrowly fiscal point of view.


NYTimes eXaminer interviews Belén Fernández

The following is a the first half of an interview conducted by the new NYTimes eXaminer with PULSE co-editor Belén Fernández about her book The Imperial Messenger: Thomas Friedman at Work.

Billed as “an antidote to the ‘paper of record'”, the NYTimes eXaminer‘s Advisory Council is composed of such distinguished figures as Richard Falk, Phyllis Bennis, and Edward Herman.

See Phil Weiss’ comment on the interview at Mondoweiss.

Q: Why Tom Friedman? And can you talk a little about how the book is organized? 

A: My decision to write the book was not the product of any sort of long-standing obsession with Thomas Friedman, whose journalistic exploits I remained mercifully immune to for most of my existence up until 2009.

Then, about midway through that year, the idea came to me suddenly when I noticed the $125 “Russian breakfast” option on the room-service menu at my five-star Havana hotel.

Kidding. In 2009 I watched with simultaneous fascination and horror as Friedman flitted on pedagogical missions from Lebanon to Iraq to Afghanistan to Palestine to Africa, where he discovered the root cause of oppression in Zimbabwe by going on safari in Botswana.

Later that same year, Friedman’s decades-long lecture to the Arab/Muslim world on how to behave reached new levels of absurdity with his pronouncement according to which:

A corrosive mind-set has taken hold since 9/11. It says that Arabs and Muslims are only objects, never responsible for anything in their world, and we are the only subjects, responsible for everything that happens in their world. We infantilize them.

Arab and Muslims are not just objects. They are subjects. They aspire to, are able to and must be challenged to take responsibility for their world.

Arab/Muslim subjectivity was of course called into question not only by the fact that Friedman in this very same article instructed the Islamic world to engage in a civil war equal in ferocity to the US civil war, but also by the fact that—approximately 10 days prior to criticizing the infantilizing of Arabs and Muslims—he had remarked to an amused Fareed Zakaria of CNN that Afghanistan was like a “special needs baby” adopted by the US. (Friedman had refrained in this case from throwing in his regular complaint that the US was “baby-sitting a civil war” in Iraq—a complaint he apparently felt was not irreconcilable with his own declaration of the need for an Iraqi civil war.)


The omnipotence of Al Qaeda and meaninglessness of “Terrorism”


Glenn Greenwald writes today at Salon on the subject of the Oslo attacks:

For much of the day yesterday, the featured headline on The New York Times online front page strongly suggested that Muslims were responsible for the attacks on Oslo; that led to definitive statements on the BBC and elsewhere that Muslims were the culprits.  The Washington Post‘s Jennifer Rubin wrote a whole column based on the assertion that Muslims were responsible, one that, as James Fallows notes, remains at the Post with no corrections or updates.  The morning statement issued by President Obama — “It’s a reminder that the entire international community holds a stake in preventing this kind of terror from occurring” and “we have to work cooperatively together both on intelligence and in terms of prevention of these kinds of horrible attacks” — appeared to assume, though (to its credit) without overtly stating, that the perpetrator was an international terrorist group.

But now it turns out that the alleged perpetrator wasn’t from an international Muslim extremist group at all, but was rather a right-wing Norwegian nationalist with a history of anti-Muslim commentary and an affection for Muslim-hating blogs such as Pam Geller’s Atlas Shrugged, Daniel Pipes, and Robert Spencer’s Jihad Watch.  Despite that, The New York Times is still working hard to pin some form of blame, even ultimate blame, on Muslim radicals (h/t sysprog):