Book review: Does Capitalism Have a Future? by Immanuel Wallerstein, et al

by various authors
Oxford University Press
3.5 stars
David Wilson

First, HSBC chief global economist Stephen King predicted the end of Western affluence in When the Money Runs Out. Now, channelling Great Recession anxiety, five social scientists address whether capitalism is over altogether.

"Capitalism's existence as a system for 500 years does not prove it will last forever," the introduction to Does Capitalism Have a Future? says. The assumption that it could supposedly stems from two factors - a lack of alternatives and the influence of the 19th-century creed that man is evolving towards a higher, harmonious, liberal capitalism.

In fact, the authors say, all epic systems - from the Roman empire to the Qing dynasty and the Soviet bloc - flopped eventually. So capitalism might well do the same. At best, it will trundle on, according to American sociologist Craig Calhoun and Soviet Union expert Georgi Derluguian, who asks: "Why cannot capitalism continue as a low-growth global system, which it was for much of its history? The 20th century - more precisely, the period 1945 to 1970 in the West and the end of the 20th century in the East - would then be seen as exceptional.

"This low-growth scenario would also reduce the role of speculation and downgrade the power of finance capital, with repeats of our present Great Recession (which are at present quite likely) becoming less likely.

"Of course, as labour conditions improve throughout the world, that is very good news. Then all of humanity might live in an almost steady-state economy, like the Japanese have already done for the last twenty years. The future of capitalism might not be tumultuous, but boring," Derluguian writes, edging as close as the book goes to humour.