Polanyi and Post-neoliberalism in the Global South

Dilemmas of Re-embedding the Economy

Bibliographic Data

ID5773532
AuthorsRichard Sandbrook (University of Toronto, corresponding author)
Year2011
Volume16
Issue4
Pages415-443
Publication date2011-01-16
Peer ReviewedYes
Open AccessNo
TypeARTICLE
VenueNew Political Economy (JOURNAL)
Journal identifiersISSN: 1356-3467 • E-ISSN: 1469-9923
PublisherTaylor & Francis (PUBLISHER • GB)
DOI10.1080/13563467.2010.504300
OpenAlexW2140843369
LanguageEN
Citations received38
References cited77

Although Karl Polanyi Studied a different epoch and focused on Europe, his ideas have inspired an outpouring of studies on contemporary problems and prospects in the neoliberal era. The bulk of these studies pertain to industrial countries or global economic issues. However, the human, environmental and financial impact of market deregulation is arguably more devastating in the 'developing' countries than in the core. A question thus arises: do Polanyi's reflections on progressive alternatives to liberalism clarify contemporary debates on development alternatives in the Global South? I contend that democratic socialism - Polanyi's preferred remedy to the 'demolition' of society and nature occasioned by market civilisation - is problematical in light of what we have learned from the twentieth century, but his framework for evaluating alternatives - featuring the re-embedding of economy in society - remains as powerful as ever, I support this argument with an exploration of socialism and social democracy - as well as community - based alternatives arising from 'reciprocity'. Each possibility raises distinctive dilemmas, as an analysis of cases reveals. Keywords: Polanyisocialismsocial democracycommunitarianismpolitical economyglobalisationglobal Southdevelopment alternatives Notes On the imperialism of categories, see Rudolph Citation(2005). The pioneer in the application of Polanyian notions to development studies is Bjorn Hettne (Citation1990: 161-3, 236-8); (Citation2009). For a nuanced and critical treatment of post-development thought, see Andreasson Citation(2010), especially ch. 3. Polanyi does not refer to a 'theory' of the double movement. My use of this term implies that the explanatory mechanism that he employs to explore the 'political and economic origins of our time' in The Great Transformation ([1944] 2001) is of wider applicability. This summary is drawn mainly from this latter book. I owe this point to Jon Kraus (personal communication). Refer to Stiglitz Citation(2008) and the other chapters in this collection for reflections on this evolution. See also Harvey (Citation2005) and Williams (Citation2008: chs. 5 and 6). Latin America's growth in the period 2002-08 reached a respectable average of 3.5 per cent, but this was the era of leftist governments in the region (Pearce Citation2009: 419). Africa experienced a commodity-based boom in the same period. For a thorough analysis, see Luttwak Citation(1999). See Levien Citation(2007) and Wang Citation(2008) for an analysis of countermovements in India and China, respectively; Rénique Citation(2005), Cameron Citation(2009) and Pearce Citation(2009) for the rise of the left in opposition to neoliberalism in Latin America; and Owusu Citation(2003) for (oblique) resistance to neoliberal policies in African countries in the 1980s and 1990s. Refer also to the discussion of freedom in a complex society in chapter 21 of Polanyi (2001) and Rotstein Citation(1990). This terminology of 'hard' and 'soft' Polanyi is drawn from Dale (Citation2010). For case studies of socialist deterioration in Africa, see Rosberg and Callaghy Citation(1979). The governments most closely aligned with the Bolivarian approach are those of Evo Morales (Bolivia) and Rafael Correa (Ecuador). Compare, for example, Rodriquez Citation(2008) with Lebowitz Citation(2007). For the details, see Burbach and Piñeiro (2007). The political violence notably included the February 1989 riots, which were precipitated by sharply rising prices linked to a structural adjustment loan undertaken in stealth by a populist leader. Thousands of rioters were killed by the army in Caracas. See Di John Citation(2005). An AP-Ipsos poll in 2006 found that 84 per cent of Venezuelans reject the Cuban model, a similarly high proportion oppose expropriation of private property, and only seven per cent agreed with the notion that 'being rich was a bad thing' (Jiménez Citation2006). For an analysis of the success in each case, see Sandbrook et al. (Citation2007: chs. 3-6). From the late 1980s to the mid-1990s, economic growth in Kerala was higher than the all-India average. The state's economy has performed relatively well since. In addition, Kerala continues to hold first place among India's states on the composite human development index. For an anthropological study of reciprocity in the urban informal economies of Latin America, see Lomnitz Citation(2000). Elinor Ostrom Citation(1990) famously challenged the 'tragedy of the commons' thesis by demonstrating that local communities, under certain conditions, developed complex institutions to safeguard common resources by means of the selection and enforcement of protective rules - in other words, by embedding local livelihoods in social norms. For a discussion of these earlier socialism, see Wright Citation(1987

Civilization · Democracy · Economic liberalism · Economic system · Economics · Liberalism · Neoclassical economics · Neoliberalism (international relations · Political economy · Political science · Politics · Reciprocity · Reciprocity (cultural anthropology) · Social science · Socialism · Sociology · Income, Poverty, and Inequality · International Development and Aid · Law · Political Economy and Marxism