Adam Tooze: Debt management is a matter of policy

Adam Tooze, one of the most influential thinkers of our time, met today at the Delphi Economic Forum to discuss with Gabriel Sakellaridis, Director of Eteron – Institute for Research and Social Change, the search for a New Example of Economic Justice. turbulent times.

Answering a relevant question by G. Sakellaridis, Adam Tooze estimated that the war in Ukraine does not lead to “de-globalization”, but to the reshaping of globalization. This means that international economic interconnections will not be removed in general, but new ones will be created, while some of the existing ones will be strengthened and some will be weakened. Economic, strategic and political power are no longer structured in the same “serial” way as before, but in a new, complex and sometimes contradictory way.

Tooze’s observation that the increase in inflation in the Eurozone can have as a happy “side effect” the relief of the debt of the Eurozone countries caused a special impression. However, we must not cling to a west-centric view. Global South countries such as Algeria and Sri Lanka are at risk of a new debt crisis due to soaring fuel prices.

On the issue of poverty, Tooze argued that it is widening the generation gap. Poverty primarily threatens children, Generation Z and young couples.

Finally, he stressed that the form that the world will take after the war has not been judged. It remains an open political issue. The bet is that societies will take control of economic history.

Source: Capital

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