Neoliberalism : A New Economic System

1169 Words Sep 12th, 2014 5 Pages
Ruth Xu History 13C 9/12/2014 Neoliberalism In the late twentieth century, the world experiences the emergence of a new economic system. From 1970s to modern day, this dominant economic agenda is coined as “neoliberalism.” Neoliberalism, a “new” liberalism, promotes global free market as a more efficient way in producing and supplying. They also advocate for privatization of resources and limited government intervention on economy. Major neoliberal policies comprised of World Trade Organization, North America Free Trade Agreement (NAFTA), Inter-American Development Bank, World Bank, and International Monetary Fund. Like any other ideologies, neoliberal policies have advantages and disadvantages because they can’t satisfy all social groups. Restricted government intervention allows elites and entrepreneurs to pursue economic freedom, but it also means limited welfare programs for the working class. Free market triggers economic competition and innovation, but it causes unemployment in U.S as a result of cheaper labor overseas. Therefore, Neoliberal policies of the last four decades impacted U.S labor, finance, immigration,…
Open Document