The Contribution of Political Economy in the Face of the Current Crises

Political economics is a social science that has been developed over the centuries by the most famous authors such as Adam Smith, Karl Marx, Alfred Marshall and Maynard Keynes. The so-called "classical" school of thought was historically built in opposition to the hyper-regulation of society, but to convince public opinion, its supporters often adopt a dogmatic approach. The perfect balance between supply and demand illustrated by the "law of opportunities" is a simple accounting equality, not an economic equilibrium. Crises, inequalities and unemployment bear witness to this and the inadequacies of regulatory policies are numerous. The difficulties of regulatory strategies are mainly due to the differences in approach to the problems to be solved - more interventionist approaches for some, more liberal approaches for others. As recommended by Esther Duflo, Nobel Prize in Economics in 2019, it is necessary to know the causes of these differences before attempting to upset or marginalise them by playing on the balance of power, which is why it is so important to resort to a decision-making consensus.