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Economics: An Assault on the State

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  • Luiz Bresser-Pereira

Abstract

Modern mainstream economics has assumed that the role of the state is limited to activities in which free markets fail—that is, cannot perform the task of equilibrating supply and demand at a price that is efficient. To the author, a Brazilian economist, this is a dangerous oversimplification of the uses and purposes of the state, and it has been the basis of a neoliberal assault on government. He persuasively rights the course. The state and the market are complementary, neither one greater than the other.

Suggested Citation

  • Luiz Bresser-Pereira, 2010. "Economics: An Assault on the State," Challenge, Taylor & Francis Journals, vol. 53(5), pages 57-77.
    • Handle: RePEc:mes:challe:v:53:y:2010:i:5:p:57-77
    DOI: 10.2753/0577-5132530505
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    References listed on IDEAS

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    1. Robert H. Frank & Thomas Gilovich & Dennis T. Regan, 1993. "Does Studying Economics Inhibit Cooperation?," Journal of Economic Perspectives, American Economic Association, vol. 7(2), pages 159-171, Spring.
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    3. Anthony Downs, 1957. "An Economic Theory of Political Action in a Democracy," Journal of Political Economy, University of Chicago Press, vol. 65(2), pages 135-135.
    4. Bresser Pereira, Luiz Carlos, 1993. "Economic reforms and cycles of state intervention," World Development, Elsevier, vol. 21(8), pages 1337-1353, August.
    5. Luiz Carlos Bresser-Pereira, 2009. "The two methods and the hard core of economics," Brazilian Journal of Political Economy, Center of Political Economy, vol. 29(2), pages 163-190.
    6. Robert H. Frank & Thomas D. Gilovich & Dennis T. Regan, 1996. "Do Economists Make Bad Citizens?," Journal of Economic Perspectives, American Economic Association, vol. 10(1), pages 187-192, Winter.
    7. Bresser-Pereira, Luiz Carlos, 2007. "Why did democracy become the preferred political regime only in the twentieth century?," Textos para discussão 149, FGV EESP - Escola de Economia de São Paulo, Fundação Getulio Vargas (Brazil).
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