Neo-Liberalism and its discontents

Abstract

The research article narrates the different dimensions of neo-liberalism. The neo-liberals who take their cue from 19th century Laissez-faire economy are of the view that Government should not intervene in the free market as the Government is part of the problem rather than the solution. But in the real world, we find that Capitalism is an instable system and prone to depressions/recessions and its downside can be controlled by the Government through its monetary and Fiscal policies and even through bail-out as happened in USA after the recession of 2008. Neo-liberals are also oblivious of their social responsibility and are of the view that trickle down economy and growth will take care of the poverty without Government interference. I have tried to submit the brief historical background and point of view of different economists both far right and left leaning and have reached to the conclusion that things cannot be left to vagaries of market only. A middle way and balance is needed where markets should work under the supervision of the Government. It is an attempt to squeeze the vast issue of neo-liberalism (free market) in the paper to the economic matter while certainly much more is desired to be discussed.