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The Post Washington Consensus : The Market Disconnect and the Public Reconnect

Colloque Governance and the Public Domain in Contrasting Economies : The Cases of India and Canada, CRRID campus Chandigarh, 12 au 14 février 2001 , par Daniel Drache

Daniel Drache, « The Post Washington Consensus : The Market Disconnect and the Public Reconnect », Colloque Governance and the Public Domain in Contrasting Economies : The Cases of India and Canada, CRRID campus Chandigarh, 12 au 14 février 2001.

« After the protests in Seattle, Prague, Washington1 and Windsor, popular sovereignty and national
sovereignty again have become powerful forces on the global stage. These agenda-setting fundamentals
challenge the Washington Consensus goals and objectives of zero inflation, broadening market access
and promoting privatization by governments everywhere. The mood swing today is away from reliance
on narrow market-led strategies and one of the casualties is that the Washington Consensus is no longer
a ‘framework agreement’ supported unqualifiedly by policy makers everywhere. Significantly, even
John Williamson, who first coined the term, has criticized this neo-liberal framework of public policymaking
as both inappropriate and too rigid for developing counties. Its largest failure is that it has not
produced the growth and jobs expected. He is not alone. Mainstream economists, such as Joseph
Stiglitz, Dany Rodrik, Sylvia Ostry, John Helliwell and Paul Krugman, have also questioned the
appropriateness of market fundamentalism as the developmental strategy for Southern countries. After
close to two decades of triumphant market policies, new economic and social fundamentals for a
different kind of consensus are needed to manage the global economy.
 »

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