The Global Crisis of American Capitalism

A Critical Analysis of Chapter 7 The Global Crisis of American Capitalism

Chapter 7 of Kevin Phillip 's book mainly discusses the reasons behind the global crisis , which is mainly caused by various irregularities and flaws by what he calls American Capitalism . If in the previous chapters the author expounded on the crippling effects of unsound politics on the economy , here , he ties in all what he has tackled and illustrates how everything culminates into bad capitalism . In general , he emphasized that a mounting debt , misguided economic policies , threatened oil supplies

, a heavily mounting debt , and crumbling house market , have dramatically affected the United States hegemony over global markets and have resulted in very adverse effects on its economy . In other words , while it is highly evident that America is the hardest hit and was the main cause of the financial crisis that has spread throughout the world , Phillips saw that the country is in even deeper financial straits than most people would admit

One of the main premises of Phillips ' arguments lies can be first traced to the perceived invincibility of a free market or , in this case the American market . In the past decades , notably following World War II and then subsequently , after the end of the Cold War , it has been no secret that the United States has emerged as the world 's central powerhouse in the global market . Its stocks rose , major American-based corporations flourished , and Americans generally enjoyed a prosperous life as compared to other...