Shahab Sabahi
Energy and Environment for Development – Policy Analysis Research Group
The political scientist Sheri Berman has defined the post world war II order as something historically unusual. He observed “capitalism remained, but it was capitalism of a very different type from that which had existed before the war - one limited by the power of democratic state and often made subservient to the goals of social stability and solidarity rather than the other way around and it was social democracy”
It is general consensus that the rise of capitalism in eighteenth and nineteenth centuries caused erosion to traditional political and economic order in the western societies. The dominance of market relationships produced economic and social dynamism. The former was driven by the notion of material benefits and the latter got its boost from the idea of personal freedoms and a decrease in communal feeling. Liberalism, then, stressed the importance of the rule of law, limited government, and free commercial transactions. (Foreign Affairs volume 91, the basic question of modernity)
Up to the great depression and the world war II, liberalism was considered as a perfect ideology for basing political and economic systems upon it.
However the catastrophes following the two world wars and the great depression questioned the reliability of liberalism as a perfect ideology to guarantee social stability and economic growth.
Jan Muller, Francis Fukuyama and John Ruggie (Alexandre Kojeve, Hegel scholar) believe that ideology reaches its end in its enough perfect shape. This perfect shape includes mixed economics and democracy. Only systems which are organized around this ideology would be altered and modified in order to adapt with conditions and attitudes change. In other words, policies and institutions go through an evolutionary process as contexts change.
True. Evidence supports what the scholars saw. Human beings put faith in policies and institutions for building better lives (if not saying creating better idea of life). However the international environment has been radically changed since the early 90s. World free trade, markets deregulation, easy money mobility, economy restructure, information revolution, the fast moving forward world, climate change and global competition are few realities which have changed the individual lifestyle, desires and the protocol of international relationships. The events caused changes in the concept of capitalism and democracy.
Suppose we concede what Berman observed and the position scholars take in respect to ideology maturity, thus in order to deal with today’s problems,
“One should expect competence policymakers at jobs, who subscribe to realism and are able to come up with policies which promise stability and security in societies through economic equality and life quality”
Is it realistic to expect shaping strong global institutions? Can we expect Neo-Capitalism without contemporary bankers and their attitudes?
Scholars do not deny possibilities