The Capital Order: How Economists Invented Austerity and Paved the Way to Fascism

The Capital Order is a groundbreaking examination of the intellectual origins of austerity, which reveals its originating motives: the protection of capital and capitalism in times of social upheaval from below. It traces modern austerity to its origins in interwar Britain and Italy, revealing how the threat of working-class power animated a set of top-down economic policies that enriched certain parties at the expense of labor.

Format: Hardback
Length: 480 pages
Publication date: 17 November 2022
Publisher: The University of Chicago Press

A groundbreaking exploration of the intellectual roots of austerity reveals its underlying motives: the protection of capital and indeed capitalism in times of social upheaval from below. In her book, The Capital Order, political economist Clara E. Mattei traces the origins of modern austerity to interwar Britain and Italy, where the threat of working-class power after World War I led to top-down economic policies that enriched owners, suppressed workers, and imposed a rigid economic hierarchy. These policies, while successful in enriching certain parties, such as employers and foreign trade interests, at the expense of labor, also served to insulate entrenched privilege and eliminate any alternatives to capitalism. Drawing on newly uncovered archival material from Britain and Italy, much of it translated for the first time, The Capital Order provides a damning and essential new account of the rise of austerity and its modes of operation.

Austerity has been a favored policy among troubled states for over a century, aimed at achieving solvency through cuts to wages, fiscal spending, and public benefits. While these policies have successfully appeased creditors, they have had devastating effects on social and economic welfare worldwide. In her book, The Capital Order, political economist Clara E. Mattei delves into the intellectual origins of austerity to uncover its true motives: the protection of capital and indeed capitalism in times of social upheaval from below.

Mattei traces modern austerity back to its roots in interwar Britain and Italy, where the fear of working-class power after World War I drove top-down economic policies that favored owners, suppressed workers, and established a rigid economic hierarchy. These policies, while successful in enriching certain parties, such as employers and foreign trade interests, at the expense of labor, also served to insulate entrenched privilege and eliminate any alternatives to capitalism.

Drawing on newly uncovered archival material from Britain and Italy, much of it translated for the first time, The Capital Order offers a damning and essential new account of the rise of austerity and its modes of operation. The book sheds light on the ways in which austerity has been used to undermine democratic institutions, suppress social movements, and perpetuate economic inequality. It also highlights the ways in which austerity has been used as a tool of political control, with governments using it to justify unpopular policies and suppress dissent.

The Capital Order is a must-read for anyone interested in understanding the origins. The book provides a comprehensive and critical analysis of the origins and consequences of austerity, and offers valuable insights into the ways in which we can work to create a more just and equitable society. It is a timely and important contribution to the ongoing debate about the future of our economy and society.

Dimension: 229 x 152 x 36 (mm)
ISBN-13: 9780226818399