IDEAS home Printed from
   My bibliography  Save this paper

The New Global Crisis Makers: Economic Intervention and the Loss of Strategic Leadership


  • Graeme Donald Snooks


The “crisis exaggerators” are telling us that current economic conditions amount to an “unprecedented” global economic recession. This is historically incorrect. What is unprecedented is the degree to which economic commentators and political leaders are talking up economic downturn. What is their agenda? Could it be an attempt to prepare the way for an “unprecedented” degree of government intervention in the economy? The “new interventionists” – some of whom, like Kevin Rudd, are now calling themselves “social democrats” – have attacked neoliberalism – the prevailing philosophy of Western governments over the past three decades – for failing to provide the direction and regulation needed to prevent the emergence of global financial crisis. But this misses the real point. Neoliberal governments have in fact been dangerously interventionist. Owing to the inflation-targeting policies they have championed, the dynamic mechanism of modern society has been disrupted, economic growth has slowed dramatically, and unemployment has risen – just as I warned in The Global Crisis Makers in 2000. The new global crisis makers are these new interventionists, who, ironically, not only accept neoliberal policies of inflation targeting but also intend to launch massive Keynesian and climate-mitigation programmes of intervention that will throw our strategic life-system into a downward spiral from which we will recover only with great difficulty and cost. Modern governments have lost the age-old art of strategic leadership, which once facilitated the effective operation of humanity’s dynamic life-system.

Suggested Citation

  • Graeme Donald Snooks, 2009. "The New Global Crisis Makers: Economic Intervention and the Loss of Strategic Leadership," GDSC Working Papers 009, Institute of Global Dynamic Systems.
  • Handle: RePEc:auu:wpaper:009

    Download full text from publisher

    File URL:
    Download Restriction: no

    More about this item


    global crisis; neoliberalism; social democracy; strategic leadership; economic intervention;

    JEL classification:

    • O11 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development
    • O47 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Empirical Studies of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence
    • O56 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Oceania
    • E31 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Price Level; Inflation; Deflation
    • E32 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Business Fluctuations; Cycles
    • E42 - Macroeconomics and Monetary Economics - - Money and Interest Rates - - - Monetary Sytsems; Standards; Regimes; Government and the Monetary System
    • E50 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit - - - General
    • E60 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - General

    NEP fields

    This paper has been announced in the following NEP Reports:


    Access and download statistics


    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:auu:wpaper:009. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Drew Treasure). General contact details of provider: .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.