Neoliberalism Global Order

In this book, subtitled Neoliberalism and Global Order, Noam Chomsky discusses a number of issues concerning neoliberalism, propaganda, free markets and illusions concerning them, more specific issues concerning Latin America, the ways in which democracy functions (or fails to function) in practice, and finally specific international agreements. This review will provide a broad overview of the positions set out in the book. It will then focus in more detail on three of the most important of these positions and arguments. Finally, an overall assessment of the book will be offered, as well as an evaluation of the author’s intended audience and his intent, including whether the material presented is appropriate for these audiences and intents.

Chomsky thinks that most of the effects of neoliberalism are harmful. He views neoliberalism as merely the latest in a history of policies by which wealthy countries exploit poor countries. Organizations such as the World Trade Organization, the International Monetary Fund, and the World Bank coerce poor countries into opening their markets fully. This has the result that wealthy countries become wealthier, while poor countries are deprived of the time and measures needed to develop their economies. Chomsky notes that neoliberalists conveniently forget that, especially in the past, markets in the United States and Britain were not completely open. He suggests that these countries became as wealthy and powerful as they are precisely because they employed protectionist measures that allowed their companies the time needed to grow into companies that can compete on the world market. In effectively demanding that poor countries open their markets the wealthy countries are basically throwing away the economic ladder after they have themselves climbed it (Chomsky a,