Student exposes austerity’s shaky foundations
A major upheaval took place recently in the world of economic theory. Yet while a sacred cow took a mortal hit, its legacy of social impoverishment and unrest continues unabated.
Why does something presumably as dense and dry as economic theory matter? Because for longer than most of us realize, elected officials have relied on the dominant, though not necessarily correct, school of thought to provide a rationale for the policies they put in place. In the congressional debate over health care, for instance, it was the fundamental argument for a "uniquely American approach" (code for the profit motive) that carried the day and left the U.S. as virtually the only developed nation without universal health care for its citizens (and New Mexicans near the bottom in terms of health care outcomes)…