I noticed a few weeks ago that Paul de Grauwe has moved from Leuven to LSE. What I didn’t notice was that he was made the John Paulson chair in European Political Economy. That’s the same John Paulson that made $3.7 billion short selling sub-prime mortgages. It seems somehow pertinent that de Grauwe who has been such an accurate doom-sayer in the Euro crisis taking up a chair being funded by successful doom-saying in the sub-prime market.
Capitalism has been shaken far beyond our expectations but… a socialist solution is not at hand and that makes the situation unbelievably difficult
Hilferding in letter to Kautsky in 1931 complaining about Woytinsky’s proto-Keynesian proposals.