Dark clouds are now looming over America’s economic future. As first the stock market boom and then the housing boom have come to an end, along with the fountains of cheap credit that were their mainspring, the perennial gale of unemployment is blowing in. The president and Congress have addressed the downturn with tax rebates and talk of “debt relief.” Meanwhile, public infrastructure is crumbling. Workers’ wages are stagnating while their work hours are rising. Health insurance is becoming less and less affordable for the typical family. And as U.S. military spending escalates, government spending on essential services is drastically reduced.
All of these facts serve to remind us that capitalist economies are inherently unstable and structurally incapable of creating full employment at decent wages and benefits. While tax rebates and debt relief may provide some minor protection from the coming economic storm, these measures are temporary–and inadequate–responses to a perpetual problem. As an alternative to these ad hoc policies or, worse yet, the free-market fundamentalism still widely preached in Washington, some economists and policymakers, in the United States and abroad, are touting a policy that seeks to end unemployment via a government promise to provide a job to anyone ready, willing, and able to work.