As I reflect on my 28 years as the economics editor at The Guardian, I am struck by how dramatically the world has changed since 1988. Back then, free market capitalism reigned supreme. But as I step down from my role, it’s clear that experiment has failed. Inequality has soared, financial speculation has run rampant, and growth has sputtered in the aftermath of the 2008 crisis. Populist anger is boiling over on both sides of the Atlantic.
So what lessons have I drawn from my front row seat to this economic sea change? Here are my top seven takeaways:
1. The Neoliberal Dream Is Dead
Despite the promises of Thatcher and Reagan, wealth never “trickled down” to the masses. The factories closed, good jobs vanished, and an ocean of easy money fueled epic financial bubbles instead of productive investment. Even the IMF now admits that neoliberalism has been “oversold.” This paradigm shift is tectonic.
2. Ideas Still Matter – The Left Needs Better Ones
The 2008 financial crash was a golden opportunity to ditch the failed free market dogma for good. But the left couldn’t unite around a bold new vision. The Keynesians, Greens, and Marxists all had competing plans. The rich leveraged their clout to block real reform. Centrist timidity didn’t help either. We can’t afford to squander the next crisis.
3. Centrists are Enabling the Populist Surge
By abandoning the working class and embracing elitist identity politics, mainstream liberals have turbocharged right-wing populism. From Brexit to Trump’s impending return, fed-up voters simply want someone to heed their economicgrievances, not scold them for “incorrect” views on immigration or culture wars. Unless the left truly *listens* to these concerns with empathy, demagogues will continue exploiting them.
4. Economic Power Is Shifting East
While the West remains mired in political dysfunction, China is remaking the global economy in its image. Despite serious challenges, the Chinese miracle has lifted hundreds of millions from dire poverty and forged a technological powerhouse. The “End of History” delusion is truly dead. The US-China rivalry will be the defining story of the 21st century.
5. Globalization Is Now in Reverse
As US-China tensions boil and the pandemic exposes the fragility of global supply chains, economic integration is giving way to a revival of state power. Tariffs, immigration curbs, and activist industrial policy are the order of the day. Free trade purists are losing the argument.
6. The European Union Faces an Existential Test
The EU’s rigid adherence to free market capitalism is tearing the bloc apart. From sclerotic growth to seething anti-immigrant resentment, Brussels needs a radically new approach – and fast. With flexibility and political will, Brexit could offer a template for reform. But the window is closing.
7. Always Question Economic Orthodoxy
If my years at the Guardian have taught me anything, it’s the value of relentless inquiry and contrarian thinking. Just because an idea is fashionable among elites doesn’t make it right – for the economy or for society. Complacency is the enemy of progress.
As I hand over the reins, I can’t help but feel we’re at another historical inflection point. Without a course correction, the toxic mix of inequality, stagnation and angry nativism could unleash forces that tear our social fabric apart. But we’ve also been granted another chance to dream up a fairer, more democratic, and ecologically sane economic model. The survival of liberal civilization may hinge on whether the left finally rises to the challenge.
