The Fault Lines of Inequality: COVID 19 and the Politics of Financialization

The book explores how the Conservative government's decisions during the COVID-19 pandemic have increased economic inequality in the UK, citing decades of austerity, asset-based welfare, and financialization as contributing factors. It argues that inequality results from the faster rate of income growth from wealth compared to wages and that promoting asset ownership is seen as a solution to government-funded welfare schemes. The book assesses the political decisions made by UK policymakers during 2020-21 and challenges them to reconsider the morality of inequality and make alternative decisions to promote a more sustainable, caring, equal, and prosperous society.

Format: Hardback
Length: 126 pages
Publication date: 26 April 2022
Publisher: Springer Nature Switzerland AG

This book delves into the profound impact of the Conservative government's decisions during the COVID-19 pandemic on economic inequality in the United Kingdom. Prior to the outbreak, decades of austerity, asset-based welfare, and financialization had already deepened social divisions within the country. The underlying political blueprint behind these measures blended privatized Keynesianism and the Asset Economy. Economists have emphasized that inequality arises from the fact that income generated from wealth tends to grow at a faster rate than income derived from wages. Consequently, the prevailing political assumption is that promoting asset ownership is the preferred alternative to government-funded welfare programs when faced with pressures on public finances.

As the pandemic unfolded, this meant that when difficult decisions about resource allocation were required, the UK Treasury and the Bank of England had virtually unlimited funds at their disposal to rescue and protect asset-holders and middle-income homeowners. At the same time, a narrative of "misfortune" was propagated for the asset-less poor. This book aims to assess the political decisions made by UK policymakers during 2020-21 and their far-reaching consequences. By doing so, it seeks to challenge policymakers and the informed public to re-examine the morality of inequality and explore alternative pathways to foster a more ecologically sustainable, caring, equal, and prosperous society.

Weight: 319g
Dimension: 210 x 148 (mm)
ISBN-13: 9783030969134
Edition number: 1st ed. 2022